Foreign buying of Malaysian bonds to continue


PETALING JAYA: Yield differentials between Malaysian government securities (MGS) and US treasuries (UST) is set to narrow supported by healthy foreign buying of Malaysian bonds amid the country’s positive economic fundamentals.

Historically, the yields on UST and MGS is seen to move in tandem, but many economists and bond analysts this time around agree that the UST yields would rise faster than that of the MGS.

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