Demand for government securities (SUN) at an auction on Tuesday, June 2, increased. Incoming bids reached Rp 105.27 trillion. However, the Government only absorbed IDR 24.35 trillion, 23% of the incoming bids. Investors are seeking SUNs of 5 and 10 years. In the 10-year tenor, the total incoming bids reached Rp 44 trillion, but the Government only absorbed Rp 8 trillion. (Kontan)

Credit Default Swap (CDS) 5 year Indonesia was in a decreasing trend since May 2020 after being reached 290bps at March 2020. As of 2 June 2020, CDS 5 year Indonesia stood at 146bps. This in line with 10-year yields of Indonesian Govt bonds that dropped to 7.14% in 2 June 2002 from 8.38% in March, the highest yield in 2020. This shows that the risk appetite of investors started to improve.