In the second primary government auction of the year, investors shifted inflationary pressures to longer-term yields, thus prompting Udibono yields to register their biggest increase since November 2016.
This week’s actual rate, according to results published by Banco de México (Banxico) Bonds denominated in investment units ,Udibonos) registered an increase of 96 basis points over its level recorded 4 weeks ago, at 3.20 per cent per annum.
This is the biggest advance for the 3-year equivalent period Udibonos real rate since it was registered in the auction on November 15, 2016, when it registered an increase of 98 basis points and also stood at 3.20 per cent.
Another tool that made significant progress was the performance of fixed rate bonds ,bond m) 20 years, which this week registered an increase of 23 basis points compared to the rate six weeks ago, to reach 8.19 per cent per annum, its highest performance since February 2019 when it hit 8.60 per cent.
The level reached by M Bonds with a validity of 7 thousand 609 days was driven by the upward trend shown by longer term rates in the United States over the past 6 weeks, where the 10-year Treasury bond yields closed. 1.80 percent annually last Monday, its highest level since January 2020.
in the subject treasury certificate ,setsInflation data had little impact on this week’s results, given the minimal changes compared to its returns recorded a week ago.
The 28-day performance of the sets extended their upward move by another week, reporting an increase of just one basis point per year to 5.52 percent, reaching a new maximum from the first week of May 2020. Went.
For its part, only the 91-day cetacean had registered a decline, which saw their yield fall by just one basis point this week to 5.97 per cent year-on-year. This was his first loss in the last four auctions.
With respect to the 182- and 364-day-old Cetes, their yields remained unchanged at 6.40 and 7.03 per cent, respectively.
Stabilization in the yield of Sets was presented this week, despite the fact that in money market operations, the four-term yield curve of Sets registered an increase of 10 basis points.
However, the set trend will be subject to expectations of a new 50 basis points increase in the target rate of Banksico for its first monetary policy meeting on February 10.
According to an analysis note by Casa de Bolsa Banorte, the rates for Cetes auctioned this week “will reflect emissions levels in line with a market that includes a restrictive scenario for Banxico, with the February decision up to 50 bp (basis points)”. has increased.”
But, in the first survey of 2022 expectations, conducted by Citibank, opinions are divided, although 43 percent of the 28 participants projected an increase of 50 basis points for February, with 50 percent in favor of a more moderate adjustment of 25 basis points. are in. First monetary policy meeting of the year.
Finally, the overload of development bonus Indexed in One Day TIIE (Bonds F) remained unchanged at 357 basis points for 7-day paper, 72 basis points for 14-day issue and 1,85 basis points for 17-day document instruments.
Last Monday, the overnight TIIE was set at 5.51 per cent and registered an increase of 3 basis points from its level 7 days ago.