United Kingdom Treasury 1-year bond

UK

United Kingdom Treasury 1-Year bond drops to four-month low [Implied Yield 0.256%] 23 June, 2017

NEWS BITES - BONDS

United Kingdom Treasury 1-Year bond traded at its 119-day low of GBP101.05. The bond price has decreased 5.0 GBX (or 0.05%) from its last trading session of June 22, 2017 to close at GBP101.06. The bond matures in 3 months; its yield to maturity has (YTM) increased by 3.3 basis points from 0.22% to 0.256%.

UK 1-Year1-day1-week1-month3-months1-year
Price Change %0.050.10.30.40.43
YTM change (%)14.853.29118.871.8147.0

SECTION 1

1.1 Maturity

IssuerUnited Kingdom

SECTION 2

UK 1-YEAR BEARISH SIGNALS

Technicals:

+ The price decreased 0.1% in the last week and 0.3% in the last month.

+ The Moving Average Convergence Divergence (MACD) indicator of 12-day Exponential Moving Average (EMA) of 101.17 minus the 26-day EMA of 101.23 is negative 0.06 suggesting a bearish signal. Both EMA prices are falling, another bearish signal.

SECTION 3

UK 1-YEAR BULLISH SIGNALS

3.1 Technicals:

Oversold/Bullish/Support Signals:

+ At GBP101.06 the price is below the lower Bollinger band support of GBP101.08, indicating an upside for it to return to the band.

+ The Relative Strength Index (RSI) of 26.4 has breached the oversold line of 30, suggesting the price decrease of 0.2% in the last 14 days is unusually high.

+ The bond is oversold according to the Williams % R indicator of -95.0, suggesting the price is close to its 14-day low of GBP101.05.

3.2 High Performance Indicator:

DescriptionValueRank In Market
Volatility %0.04In Top Quartile

SECTION 4

PRICE VOLUME DYNAMICS

Technicals:

+ The UK 1-Year is at a discount of 0.6% to its 12-month high of GBP101.64 traded on February 28.

+ It is at a premium of 0.6% to its 12-month low of GBP100.46 traded on February 22.

+ The present value of GBP1,000 (PV1000) invested one year ago in UK 1-Year is GBP1,004, for a capital gain of GBP4.

PV10001-week1-month1-year
uk-1-year.L9999971,004

SECTION 5

PERFORMANCE RANK

+ The 1-Year bond yield is ranked 21 out of 25 countries in the global sovereign bond index.

The table below shows today's 1-Year Bond Yield in %, current inflation rate in % and real rate of interest(%).

RankCountry1-Yr BondInflationReal Rate
1Kenya10.874.056.553
2Brazil8.884.084.607
3Russia7.844.13.593
4Mexico6.975.821.087
5India6.42.993.309
6Pakistan6.034.781.193
7Indonesia5.944.171.703
8China3.511.22.285
9Vietnam3.516.69-2.982
10Malaysia3.35.1-1.713
11Philippines2.853.4-0.536
12Chile2.682.7-0.019
13Poland1.892.0-0.106
14Australia1.632.1-0.464
15Thailand1.580.381.195
16South Korea1.471.9-0.422
17Singapore1.040.70.338
18Sweden0.951.9-0.927
19Canada0.841.6-0.748
20Norway0.42.2-1.763
21United Kingdom0.262.3-1.998
22Hungary0.21.8-1.572
23Israel0.130.7-0.569
24Netherlands0.081.6-1.5
25Czech Republic0.050.2-0.15

SECTION 6

MACROECONOMIC INDICATORS

IndicatorValueG20 RankGlobal Rank
GDP (USD Billion)2,86166
GDP growth yoy (%)2.1836
Interest rate (%)0.25620
Inflation rate (%)2.31236
Public debt (USD) (billion)2,795.71763
Public debt per person (USD)43,6961658
Total annual debt change (%)8.0837
Debt to GDP (%)89.31553
Budget Deficit to GDP (%)3.0834
CAD to GDP (%)4.41952
Unemployment rate (%)4.7721
Population (million)64.11219

SECTION 7

CREDIT RATING SUMMARY

United Kingdom:

Rating AgencyLong TermForeign CurrencyDescription
Moody'sAA1
S&PAAAExtremely strong capacity to meet financial commitments. Highest Rating.
FITCHAA+Very high credit quality: 'AA' ratings denote expectations of very low default risk. The plus (+) sign shows relative standing within the major rating category.
DAGONGA+High Credit Quality: "A" ratings denote expectations of relatively low default risk. The capacity for payment of financial commitments is considered sufficient. However, this capacity may be more vulnerable than those of the higher ratings to adverse business or economic conditions due to any foreseeable event. The plus (+) sign shows relative standing within the major rating category.

Source: www.BuySellSignals.com