Issue link: https://maltatoday.uberflip.com/i/188841
13 BUSINESS & FINANCE maltatoday, WEDNESDAY, 9 OCTOBER 2013 Money Market Report for the week ending 4 October 2013 ECB decisions On Wednesday, 2 October, the Governing Council of the European Central Bank (ECB) decided to keep the interest rate on the main refinancing operations (MRO) unchanged at 0.50%. Interest rates on the marginal lending facility and on the deposit facility were also left unchanged at 1.00% and 0.00%, respectively. ECB Monetary Operations On Monday, 30 September, the ECB announced its weekly MRO. The auction was conducted on Tuesday, 1 October, and attracted bids from euro area eligible counterparties of €94.47 billion, €2.56 billion lower than the bid amount of the previous week. The amount was allotted in full at a fixed rate equivalent to the prevailing MRO rate of 0.50%, in accordance with current ECB policy. Also on Tuesday, 1 October, the ECB conducted an auction for a seven-day fixed-term deposit intended to absorb €187.5 billion. This operation was designed to sterilise the effect of purchases made under the Securities Markets Programme that were settled but had not yet matured by the previous Friday, 27 September. The auction was carried out at a variable rate, with euro area eligible counterparties allowed to place up to four bids at a maximum rate of 0.50%. It attracted bids amounting to €265.07 billion, with the ECB allotting €187.5 billion, or 70.74%, of the total bid amount. The marginal rate on the auction was set at 0.09%, with the weighted average rate at 0.08%. On Wednesday, 2 October, the ECB conducted a six-day US dollar funding operation through collateralised lending in conjunction with the US Federal Reserve. This operation was carried out at a fixed rate of 0.59% and did not attract bids from euro area eligible counterparties. Regular market closed – 08/09/2013 Symbol Code Volume Traded Value Traded Trades High Price Low Price Open Price Close Price Change Twap s BOV 52784 130034.330 25 2.479 2.448 2.449 2.479 0.029 2.464 l CW 6250 4812.500 1 0.770 0.770 0.770 0.770 0.000 GO 12502 18112.960 10 1.480 1.440 1.450 1.480 0.010 1.449 l HSB 23650 61963.000 5 2.620 2.620 2.620 2.620 0.000 2.620 l LOM 5500 10230.000 1 1.860 1.860 1.860 1.860 0.000 1.860 s MIA 8475 16653.770 3 1.970 1.960 1.960 1.970 0.010 1.965 s RS2 7982 15958.180 5 2.000 1.999 1.999 2.000 0.020 1.999 l SFC 3600 9900.000 1 2.750 2.750 2.750 2.750 0.000 2.750 t G17C 13000 14322.100 3 110.170 110.170 110.170 110.170 -0.150 110.170 t G20B 5000 5609.000 1 112.180 112.180 112.180 112.180 -0.070 112.180 s G22A 13014 14882.810 2 114.360 114.360 114.360 114.360 0.080 114.360 t G22B 5000 5406.500 1 108.130 108.130 108.130 108.130 -0.050 108.130 t G28BC 9000 9162.000 1 101.800 101.800 101.800 101.800 -0.070 101.800 t G30A 80800 88613.360 3 109.670 109.670 109.670 109.670 -0.680 109.670 s BV18A 24000 25380.000 1 105.750 105.750 105.750 105.750 0.150 105.750 s BV19A 11700 12402.000 1 106.000 106.000 106.000 106.000 0.400 106.000 l BV20A 6000 6186.600 2 103.110 103.110 103.110 103.110 0.000 103.110 l MB15A 27000 28350.000 1 105.000 105.000 105.000 105.000 0.000 105.000 s MB19C 25000 25687.500 1 102.750 102.750 102.750 102.750 0.750 auction was 0.465%, i.e. 1.3 basis points higher than on bills with a similar tenor issued on 9 August 2013, representing a bid price of 99.9638 per 100 nominal. The yield from the 182day bill auction was 0.608%, i.e. 5.8 basis points higher than on bills with a similar tenor issued on 27 September 2013, representing a bid price of 99.6936 per 100 nominal. During the week under review, there was no trading on the Malta Stock Exchange. On Tuesday the Treasury invited tenders for 28-day bills and 182-day bills maturing on 8 November 2013 and 11 April 2014, respectively. YOUR FIRST CLICK OF THE DAY 0.770 s Domestic Treasury Bill Market In the domestic primary market for Treasury bills, the Treasury invited tenders for 28-day bills and 182-day bills maturing on 1 November 2013 and 4 April 2014, respectively. Bids of €20.0 million were submitted for the 28-day bills, with the Treasury accepting €13.0 million, while bids of €29.5 million were submitted for the 182-day bills, with the Treasury accepting €17.5 million. Since €38.4 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €7.9 million, to stand at €414.75 million. The yield from the 28-day bill 102.750 s s www.maltatoday.com.mt The rates quoted above are against the EURO.