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Friday March 9, 3:34 PM

S.Korea bonds little changed ahead of US jobs data

SEOUL, March 9 (Reuters) - South Korean government bond prices were little changed on Friday, in muted trading ahead of key U.S. jobs data, while investors also looked forward to a fresh supply of five-year treasury bonds.

The yield on the benchmark five-year treasury bonds ended one basis point lower at 4.83 percent, while the three-year treasury yield dropped one basis point to 4.80 percent.

"Treasury bond futures had extended losses on post-central bank rate meeting effects, but a void of negative factors boosted buying sentiment and set figures flat again," said a Daewoo Securities dealer.

The Bank of Korea on Thursday left interest rates on hold at 4.5 percent for the seventh consecutive month as widely expected.

"Trading was limited ahead of the February's U.S. employment data in the local treasury bond market as investors restrained trading before checking data to estimate Federal Reserves' next move," he added.

A Reuters survey expected the U.S. February jobs data, due after the Seoul market's close, to show slightly weak figures from a month earlier, with 100,000 new jobs in February, compared with 111,000 in January. [ID:nN07232925]

Investors are also looking forward to fresh supply of five-year treasury bonds worth 1.46 trillion won ($1.54 billion) from the finance ministry on Monday.

The March treasury bond futures ended unchanged at 108.74

The benchmark Korea Composite Stock Price Index (KOSPI) fell 0.02 percent.

                                       close    prev close
 5-yr treasury bonds           4.83 pct      4.84 pct
 3-yr treasury bonds                   4.80 pct      4.81 pct
 1-yr monetary stabilisation bonds     4.89 pct      4.89 pct
 3-mth certificates of deposit         4.94 pct      4.94 pct
 Average call rate                ~      4.40 pct
 6-mth *KORIBOR               5.02 pct      5.02 pct
 * Korea interbank offered rate
 ($1=946.3 Won)

 


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