South Korean Bond Yields Reflect Market Movements on February 6, 2024

SEOUL — On Tuesday, February 6, 2024, South Korea's bond yields experienced varied movements, reflecting the latest shifts in the country's debt market. The changes in yields for different maturities were recorded, indicating the market's reaction to economic factors and investor sentiment.

According to Yonhap News Agency, the one-year Treasury Bond (TB) yield decreased slightly to 3.365% from 3.371%, showing a marginal drop of 0.6 basis points. The two-year TB yield also saw a decrease, moving to 3.373% from 3.383%, a reduction of 1.0 basis point. A more significant change was observed in the three-year TB yield, which fell by 2.0 basis points to 3.292% from 3.312%. Conversely, the 10-year TB yield edged up by 0.8 basis points to 3.382% from 3.374%.

Other segments of the bond market showed similar fluctuations. The two-year Monetary Stabilization Bond (MSB) yield decreased by 1.3 basis points to 3.359% from 3.372%, while the three-year Corporate Bond (CB) with an AA- rating saw a reduction of 1.9 basis points to 4.028% from 4.047%. The 91-day Certificate of Deposit (CD) rate remained unchanged at 3.670%.

These movements in bond yields provide insight into the current state of South Korea's financial market, reflecting investor responses to economic developments and expectations for future interest rates.