Slight Uptick in South Korean Bond Yields

SEOUL— South Korea witnessed minor adjustments in bond yields across various maturities on July 17, 2024, reflecting subtle market shifts.

According to Yonhap News Agency, the 1-year Treasury bill saw a rise of 1.2 basis points to 3.193 percent from the previous session's 3.181 percent. The 2-year Treasury bill yield nudged up slightly by 0.3 basis points to 3.105 percent, while the 3-year Treasury bill experienced a more noticeable increase of 1.5 basis points, reaching 3.050 percent. Longer-term, the 10-year Treasury bill yield edged up by 0.2 basis points to 3.139 percent.

In the municipal sector, the 2-year Municipal Stability Bond (MSB) rose by 1.3 basis points to 3.102 percent, and the 3-year Corporate Bond (AA-) also increased by 1.3 basis points to 3.509 percent. Conversely, the 91-day certificate of deposit (CD) rate decreased by 1.0 basis points, settling at 3.540 percent. These movements indicate a restrained yet active bond market as investors adjust their portfolios in response to economic signals and monetary policy expectations.