Here's what to expect for the T-bill auction on 21 May

What happened?

The next 6-month Singapore T-bill auction (BS26110S) will be on 21 May.

In the previous auction on 7 May, the cut-off yield for the 6-month Singapore T-bill stayed at 1.40%, unchanged from the yield of 1.40% in the previous auction on 23 April.

T-bill yield has remained at a lower level after falling from 1.47% p.a. in the 9 April auction.

With the drop in cut-off yield, the Beansprout community has been discussing whether we could see a rebound in the Singapore T-bill yield.

In this article, I’ll look at some of the latest indicators to help us understand what the upcoming cut-off yield might be.

Here's what to expect for the Singapore T-bill auction on 21 May

#1 – US 10-year government bond yields have edged higher

The 10-year US government bond yield was at 4.46% as of 14 May 2026, higher than its levels of 4.36% two weeks ago. 

This comes as investors scaled back expectations for Federal Reserve rate cuts amid persistent inflation and resilient economic data. 

Concerns over large US fiscal deficits and increased government bond issuance also contributed to upward pressure on long-term yields.

Likewise, the 1-year US government bond yield edged up to 3.81% as of 14 May 2026, from 3.73% two weeks earlier.

#2 – Singapore government bond yields little changed

The 10-year Singapore government bond yield was at 2.07% as of 14 May 2026, little changed from 2.10% two weeks ago.

This likely reflects sustained demand for Singapore government bonds as a safe haven asset. 

The closing yield on the 6-month T-bill was at 1.40% on 13 May 2026, on par with cut-off yield of 1.40% in the previous T-bill auction on 7 May.

The yield on the 3-month MAS bill can also indicate the yields for shorter-maturity Singapore government bonds.

The cut-off yield was at 1.42% in the auction on 12 May 2026, also quite close to the than the cut-off yield of 1.39% on 5 May.

#3 – Issuance size is the same with previous auction

The issuance size of the upcoming 6-month Singapore T-bill is $8.5 billion, same with the previous auction size.

This also represents the highest amount of 6-month Singapore T-bill being auctioned. 

We saw a decline in T-bill applications to S$17.5 billion in the auction on 7 May, from S$19.2 billion in the auction on 23 April. 

If demand continues to decline n the upcoming auction, the same issuance size may help to provide some support to the cut-off yield in the upcoming auction. 

What would Beansprout do?

The closing yield on the 6-month Singapore T-bill was at 1.40% on 13 May 2026, on par with the cut-off yield in the previous auction.

With continued global geopolitical uncertainty, I have been evaluating my financial plan to make sure it offers me sufficient security and peace of mind.

The first step is to make sure I have sufficient cash put aside for emergency uses through my liquidity pot, where I would then put into a mix of savings accounts, fixed deposits, T-bills, SSBs and money market funds. Learn more about the liquidity pot here. 

Then, I would see how I can earn a higher yield on this pot of emergency cash, while maintaining the liquidity I may need.

Currently, the closing yield on the 6-month Singapore T-bill of 1.40% remains below the best 6-month fixed deposit rate of 1.50% p.a.

While banks have been cutting the interest rates on savings accounts, we were still able to find savings accounts in Singapore that offer an interest rate of above 1.40% p.a.

The current issuance of the Singapore Savings Bonds (SSB) offers a 1-year return of 1.46%, and 10-year average return of 2.11% p.a., while offering the flexibility to redeem priority to maturity. 

I compare savings accounts, fixed deposits, T-bills, SSBs and money market funds to find the best places to park your cash in May 2026 here.

By finding the best place to park my cash, I know that I have a stable base for the rest of my portfolio to stay invested through markets ups and downs. 

When this pot is properly set up, I know I can ride through market volatility without being forced to sell my investments at the wrong time.

Stay updated on the T-bill

Sign up to receive a free email reminder when the next Singapore T-bill auction is open.

Subscription preferences

• Reminder for Tbill

The 6-month Singapore auction will be held on 21 May (Thursday). We would need to put in our cash applications for the T-bills by 9pm on 20 May (Wednesday).

Applications for the T-bills using CPF-OA will close 1-2 business days before the auction date, and the dates differ across the three local banks.

• Applications for T-bills online using CPF OA via DBS close at 9pm on 20 May (Wednesday).Read our step-by-step guide to applying via DBS.
• Application for T-bills online using CPF OA via OCBC close at 9pm on 20 May (Wednesday). Read our step-by-step guide to applying via OCBC
• Applications for T-bills online using CPF OA via UOB close at 9pm on 19 May (Tuesday). Read our step-by-step guide to applying via UOB.  

Do you prefer to park your cash in T-bills or fixed deposits? Share with us in the comments below or in our Telegram group!

If you are new to investing in the T-bill, check out our comprehensive guide to Singapore T-bills to learn more.

Enjoyed this insight? Follow Beansprout on Telegram, Youtube, Facebook and Instagram, and add Beansprout as your preferred source on Google so you never miss an update.