The central bank said its P180 billion offer of term deposit facility (TDF) was over-subscribed at Wednesday’s auction, indicating that the country’s liquidity system remains sound and that investors continue to favor short-dated papers. The Bangko Sentral ng Pilipinas (BSP) fully awarded the P180-billion TDF offer. The total bids for the seven- and 28-day facilities exceeded P208 billion. Bids on the seven-day tenor totaled P37.87 billion, while the 28-day facility drew P171.3 billion. “The auction results show there is still good demand for short-dated TDF placements (seven days and 28 days) even as the bid-to-cover ratios are lower than last week’s,” BSP Governor Amando Tetangco Jr. told reporters in a text message. The bid-to-cover ratio of 1.2625 and 1.1420 for the seven-day and 28-day tenors, eased from 1.7023 and 1.3603, respectively. The interest rate for the seven-day facility dropped to 3.00 percent from 3.01 percent, while that for the 28-day tenor fell to 3.39 percent from 3.40 percent last week. “Investors remain on the lookout for short-dated paper with good yields,” Tetangco added.