In its “Weekly Hebdo Rates – Fixed Income” note covering the period from February 4 to 10, Attijari Global Research (AGR) predicts a downward movement on the primary curve of the bond market.

According to the note, “the current confrontation between a comfortable situation in Treasury finances and excess investor liquidity should, according to our forecasts, maintain a downward trend in primary rates for the remainder of this quarter”, indicates the same source. The 2nd auction session of February was characterized by a raising of 2 billion dirhams (MMDH) from the Treasury in the face of a significant demand of 9.3 billion dirhams, reports AGR, adding that the satisfaction rate of the session was thus limited to 22%. The confrontation of excess demand from investors and a moderate supply of Treasury bonds (BDT) exerted downward pressure on the primary curve, mainly at the level of the maturities affected by the exercise. To this end, yields on 5-year and 15-year maturities fell by 3 basis points (bps) and 1 bp respectively.