BOND+SUKUK INFORMATION EXCHANGE BIXMALAYSIA.COM - NEWS UPDATE 02 June 2020
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BOND+SUKUK INFORMATION EXCHANGE BIXMALAYSIA.COM NEWS UPDATE 02 June 2020
US Yield Daily Yield Weekly Yield Monthly Yield YTD Yield
MARKET Treasury 01 June 20
3 YEAR 0.20
Change
bps
1
29 May 20
0.19
Change
bps
-1
22 May 20 Change
0.21
bps
-4
30 Apr 20
0.24
Change
bps
-142
31 Dec 19
1.62
5 YEAR 0.31 1 0.30 -3 0.34 -5 0.36 -138 1.69
SUMMARY 7 YEAR
10 YEAR
0.50
0.66
0
1
0.50
0.65
-1
0
0.51
0.66
-3
2
0.53
0.64
-133
-126
1.83
1.92
MGS Yield Daily Yield Weekly Yield Monthly Yield YTD Yield
01 June 20 Change 29 May 20 Change 22 May 20 Change 30 Apr 20 Change 31 Dec 19
bps bps bps bps
3 YEAR 2.27 0 2.27 0 2.27 -13 2.40 -71 2.98
5 YEAR 2.47 0 2.47 -1 2.48 -4 2.51 -68 3.15
7 YEAR 2.64 2 2.62 0 2.64 -3 2.67 -66 3.30
10 YEAR 2.82 2 2.80 2 2.80 -7 2.89 -48 3.30
GII Yield Daily Yield Weekly Yield Monthly Yield YTD Yield
01 June 20 Change 29 May 20 Change 22 May 20 Change 30 Apr 20 Change 31 Dec 19
bps bps bps bps
3 YEAR 2.32 1 2.31 0 2.32 -15 2.47 -74 3.06
5 YEAR 2.45 -2 2.47 -3 2.48 -13 2.58 -74 3.19
7 YEAR 2.70 0 2.70 -3 2.73 6 2.64 -60 3.30
10 YEAR 2.72 2 2.70 -5 2.77 -12 2.84 -70 3.42
• 1 bps = 0.01%
AAA Yield Daily Yield Weekly Yield Monthly Yield YTD Yield
• Increase in Yield = Decrease 01 June 20 Change 29 May 20 Change 22 May 20 Change 30 Apr 20 Change 31 Dec 19
in the bond price/value bps bps bps bps
3 YEAR 2.87 0 2.87 0 2.87 -14 3.01 -68 3.55
5 YEAR 3.03 1 3.02 2 3.01 -8 3.11 -64 3.67
Source: US Treasury, BNM & 7 YEAR 3.19 2 3.17 1 3.18 -5 3.24 -57 3.76
BIX Malaysia 10 YEAR 3.36 2 3.34 1 3.35 -5 3.41 -53 3.89THE MALAYSIAN RESERVE
NEWS Sharp contraction in 2Q GDP to push Malaysia into recession
UPDATE MALAYSIA’S GDP in the second quarter of 2020 (2Q20) is expected to
contract sharply, dragging the domestic economy into recession this
year, said IHS Markit Asia-Pacific chief economist Rajiv Biswas. South-
East Asia’s fourth-largest economy has been severely hit by the impact of
lockdown measures to prevent the escalation of the Covid-19 pandemic,
Today's headlines of interest and Biswas said in his latest economic preview report. With continued severe
summaries as extracted from the lockdown conditions having remained in place throughout April, 2Q20
GDP will be heavily hit by the negative economic effects of containment
international and local media.
measures.
“First-quarter GDP contracted on a quarter-on-quarter basis, and 2Q20
GDP is also expected to show a sharp contraction due to the impact of
the protracted lockdown. “This is expected to push the Malaysian
economy into a recession for the 2020 calendar year,” he added.
However, economic growth momentum is expected to gradually improve
in the second half of this year (2H20), as domestic industrial production
and consumption expenditure recover.
This would follow the easing of lockdown restrictions, while export orders
gradually improve as lockdowns are eased in major export markets,
notably Europe and the US. The tourism sector is also expected to face a
protracted period of economic distress, as restrictions on international
visitors are still in force.THE MALAYSIAN RESERVE
NEWS Malaysia’s PMI rises to 45.6 in May as pandemic effect may have
bottomed out
UPDATE MALAYSIA’S manufacturing sector posted a sharp spike in May as
external demand increased with more countries easing the lockdowns
imposed on their citizens and economic activities are slowly returning to
normality. The headline IHS Markit Malaysia Manufacturing Purchasing
Managers’ Index (PMI), an indicator of the country’s manufacturing
Today's headlines of interest and performance, jumped to 45.6 in May compared to April’s record low of
summaries as extracted from the 31.3. The figure, however, is still below the neutral mark of 50, indicating a
international and local media. still muted manufacturing sector. IHS Markit Ltd chief business economist
Chris Williamson said the strong rise of the PMI showed the first major
indication that the economic downturn caused by the Covid-19 pandemic
appeared to have bottomed out. “While manufacturing activity continued
to fall at a steep rate in May, declines in output and orderbooks were
notably less severe than what was seen in the month prior.
“Barring any second wave of infections, the coming months should see
signs of at least stabilisation as restrictions to contain the virus are
gradually eased both at home and in export markets,” Williamson said in
a statement yesterday. He said despite the anticipation of a return to
growth into the third quarter, a recovery to pre-pandemic production and
GDP levels would be long and slow. Williamson said export demand in
particular looks set to be weak for some time as Covid-19 restrictions will
inevitably need to stay in place and continue to dampen economic
activity around the world.BERNAMA
NEWS Malaysia may see gradual economic recovery starting next quarter, says
MIDF Research
UPDATE After the “largely expected” economic contraction for the 2020 second
quarter (Q2), Malaysia may see a gradual recovery starting from the third
quarter depending on its progress in containing the Covid-19 outbreak,
said MIDF Research. In a note today, it said recovery would also depend
Today's headlines of interest and on how the rest of the world, particularly Malaysia’s key trading partners,
summaries as extracted from the were combating the spreading virus as this would affect global demand
for the country’s products.
international and local media.
“The economic stimulus package is anticipated to provide some cushion
to the adverse impact resulting from Covid-19,” said MIDF Research,
which is a part of MIDF Amanah Investment Bank Bhd. It noted that
Malaysia’s Leading Index (LI) declined further to -4.9% month-on-month
(m-o-m) in March from -0.8% m-o-m in February, signaling an economic
recession for the July-September 2020 period. The hardest monthly fall
since November 1991 was mainly due to the first phase of Movement
Control Order (MCO) which was effective from March 18, the research
house said.
Five out of the seven LI components declined, including real imports of
semi-conductors, Bursa Malaysia Industrial Index and the number of new
companies registered. The leading economic index fell 3.6% year-on-year
(y-o-y) in March, following a 1.7% y-o-y gain in the preceding month.DISCLAIMER No Offer The information provided and services described in the BIX website are of a general nature, are not offers for investment and are not intended to be personalised financial advice to investor. The information provided in the BIX website is not intended to be a substitute for professional advice. Reliance should not be placed on the BIX website and you should seek appropriate personalised financial advice from a qualified professional to suit your individual circumstances and risk profile. Website Information BIX website is a publisher of content supplied by third parties. While every effort is made to ensure the information on the BIX website is up-to-date and correct, the Company makes no representations or warranties of any kind, express or implied, about the accuracy, reliability, completeness, suitability or availability of the BIX website or the information provided on the BIX website from the sources. The information on the BIX website is subject to change at any time. Any reference on this BIX website to historical information and performance may not necessarily be a good guide to future performance. You are solely responsible for any actions you take or do not take by relying on such information. To the full extent legally allowable, the directors, associates, vendors and staff of the Company expressly disclaim all and any liability and responsibility to any person in respect of anything, and of the consequences of anything, done or omitted to be done by any such person in reliance, whether wholly or partially, upon the whole or any part of the contents of this BIX website. Third party products and services Through the BIX website you may be able to link to other websites which are not under the control of the Company. The Company has no knowledge of or control over the nature, content, and availability of those websites. The Company does not sponsor, recommend, or endorse anything contained on these linked websites. The Company does not accept any liability of any description for any loss suffered by you by relying on anything contained or not contained on these linked websites. The Company accept no responsibility or liability for the content, use or availability of such websites. The Company shall not be liable for any and all liability for the acts, omissions and conduct of any third parties in connection with or related to your use of this site and/or our services.
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