Investors were expecting high yield for 6 months syaria SPN (SPN-S 09092016) with its highest yield reached at 6.5%, more than 70bps higher than its weighted average yield. This yield spread was higher compared to other offering sukuk series on Tuesday’s auction. For comparison, the yield spread for PBS012 only recorded 30bps with the highest yield at 8.87% and average weighted yield of 8.57%. As a result of high demanded yield, the 6 months SPN only booked 2.33 times in bid to cover ratio (BTC), the highest among other series that recorded 1.21 -2.21 times of BTC. Investors interest were seen growing toward long term bonds in tandem with stronger IDR. Government raised IDR6.95trn on Tuesday’s auction, above IDR4trn target.