Malaysia Keeps Bond-Swap Spread at Positive 12 Basis Points as Deficit Warning Fails to Rattle Yields
Updated
Updated · Bloomberg · Jun 18
Malaysia Keeps Bond-Swap Spread at Positive 12 Basis Points as Deficit Warning Fails to Rattle Yields
1 articles · Updated · Bloomberg · Jun 18
Summary
Malaysia’s bond-swap spread stayed positive at 12 basis points even after officials warned the government may miss its fiscal-deficit target this year.
That spread — the gap between interest-rate swaps and government bond yields — is a closely watched gauge showing traders remain broadly comfortable with Malaysia’s financial outlook.
Regional comparisons underscore the resilience: similar bond-swap spreads are negative in Thailand, South Korea and India, leaving Malaysia an outlier despite the deficit alert.