Seoul - The South Korean bond market experienced shifts in yields across various maturities on March 19, 2024, reflecting subtle yet notable changes in investor sentiment and market dynamics.
According to Yonhap News Agency, the yields on South Korean treasury bonds (TBs) and monetary stabilization bonds (MSBs) fluctuated, marking adjustments in key interest rates. The one-year TB yield inched up by 0.4 basis points to 3.361%, while more significant movements were observed in longer maturities: the two-year TB yield increased by 3.1 basis points to 3.444%, the three-year TB advanced by 3.5 basis points to 3.383%, and the ten-year TB rose by 3.7 basis points to 3.472%.
In the corporate bond sector, the two-year MSB rate also ascended, showing a rise of 2.8 basis points to 3.448%. Meanwhile, the three-year corporate bond (CB) rated AA- witnessed an increase of 2.9 basis points, reaching 4.022%.
Interestingly, the 91-day certificate of deposit (CD) rate remained unchanged at 3.640%, indicating a steadiness in shorter-term liquidity preferences among investors.
These movements in bond yields reflect the broader economic and monetary trends impacting South Korea's financial markets, with investors closely monitoring various domestic and global factors influencing interest rates.