He Central Bank of Uruguay (BCU) published the tentative placement schedule for domestic public debt securities in nominal pesos for next week. Between Monday, April 24 and Friday, April 28, there will be tenders 10,800 million pesos in four placements issued by the financial institution.
The demand of investors interested in instruments in pesos represents a focus of attention at the moment, after the Monetary Policy Committee (Copom) of the BCU decided to reduce the interest rate by 25 basis points, up to 11.25%.
Some analysts consider that the measure could mean a upward pressure on the exchange rate and that, consequently, placements in pesos lose some of their attractiveness, for which reason this week’s tenders will be the subject of analysis.
Dates for the first week of April
This monday april 24 2:00 p.m. the first title in pesos will be tendered for 3,300 million pesos -84.6 million dollars, at today’s values-, with integration that same day and with a term of 29 days. That is, with an expiration date of May 23 of this year. Of that total, 660 million pesos –16.9 million dollars– will be non-competitive placements.
He Tuesday April 25 there will be another adjudication, also to the 14 hours: a title will be tendered for 2,500 million pesos, equivalent to about 64.1 million dollars, with integration the next day and with a term of 735 days -two years-; with an expiration date of April 30, 2025. Of this total, 500 million pesos – about 12.8 million dollars – are considered non-competitive.
For his part, he Wednesday April 26 at 2:00 p.m. a tender will be opened for 2,500 million pesos –64.1 million dollars–, of which 500 million pesos –12.8 million dollars– will be in non-competitive placements. The term is 91 days –three months–, that is, it expires on July 26 of this year and the integration date is the same day.
Lastly, the friday april 28 At 2:00 p.m., a title will be tendered for 2,500 million pesos –64.1 million dollars– with integration that same day and with a maturity period of 189 days. In other words, it has an expiration date of November 3 of this year. Of this total, 500 million pesos –12.8 million dollars– will be considered non-competitive placements.
Sovereign titles in pesos had a mixed behavior in March
March closed with a mixed behavior on the yield curve of the Uruguayan sovereign titles in pesos (ITLUP)with falls in the first nodes and rises from the node that contemplates three-year bonds.
Investments in sovereign debt in the medium and long term they were the ones that had the best returns during March, according to the corresponding monthly bulletin of the Electronic Stock Exchange of Uruguay (Bevsa). In this way, the node that registered the highest increase was for eight years, standing at 10.59% per year; this represented an increase of 41.1 basis points.
On the other hand, the one-month yield was the one that fell the most, going from 11.53% at the end of February to 11.27% at the end of March, with a difference of 25.6 basis points between the two months.
Source: Ambito
