Issue link: https://maltatoday.uberflip.com/i/201600
13 BUSINESS & FINANCE maltatoday, WEDNESDAY, 30 OCTOBER 2013 Money Market Report for the week ending 25 October 2013 ECB Monetary Operations On Monday, 21 October, the European Central Bank (ECB) announced its weekly main refinancing operation (MRO). The auction was conducted on Tuesday, 22 October, and attracted bids from euro area eligible counterparties of €90.61 billion, €0.63 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, 22 October, the ECB conducted an auction for a seven-day fixed-term deposit intended to absorb €188.0 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, 18 October. 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 €240.21 billion, with the ECB allotting €188.0 billion, or 78.26%, of the total bid amount. The marginal rate on the auction was set at 0.12%, with the weighted average rate at 0.09%. On Wednesday, 23 October, the ECB conducted a seven-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 0.58% and did not attract bids from euro area eligible counterparties. Domestic Treasury Bill Market In the domestic primary market for Treasury bills, the Treasury invited Regular market closed – 29/10/2013 Symbol Code t Volume Traded Value Traded Trades High Price Low Price Open Price Close Price Change Twap 6PM 3800 0.605 0.605 0.605 -0.005 0.605 2299.000 2 0.605 l BOV 13295 33194.270 5 2.500 2.490 2.490 2.500 0.000 2.497 s GO 19164 28469.570 4 1.495 1.480 1.480 1.495 0.015 1.486 l HSB 2800 7364.000 2 2.630 2.630 2.630 2.630 0.000 IHI 23432 19917.200 5 0.850 0.850 0.850 0.850 0.100 www.maltatoday.com.mt 0.850 s LOM 250 478.750 1 1.915 1.915 1.915 1.915 0.015 1.915 l MDI 40000 10200.000 2 0.255 0.255 0.255 0.255 0.000 0.255 t MIA 2000 4040.000 1 2.020 2.020 2.020 2.020 -0.010 2.020 t PZC 1800 1026.000 1 0.570 0.570 0.570 0.570 -0.015 0.570 s RS2 22666 48985.220 3 2.170 2.160 2.160 2.170 0.010 2.161 s SFC 23967 67656.940 5 2.840 2.820 2.820 2.840 0.030 2.823 t G14A 44141 45204.800 2 102.410 102.410 102.410 102.410 -0.050 102.410 t G17C 1900000 2096460.000 5 110.340 110.340 110.340 110.340 -0.060 110.340 s G20A 10659 12397.480 2 116.310 116.310 116.310 116.310 0.010 116.310 l G20B 11000 12400.300 2 112.730 112.730 112.730 112.730 0.000 112.730 s G21A 120847 138460.920 3 114.640 114.000 114.000 114.640 0.080 114.580 s G22A 800 919.040 1 114.880 114.880 114.880 114.880 0.010 114.880 s G22B 62000 67350.600 4 108.630 108.630 108.630 108.630 0.100 108.630 t G28A 120800 127395.760 3 105.500 105.460 105.500 105.460 -0.030 105.460 s G28B 345000 351865.500 6 101.990 101.990 101.990 101.990 0.010 101.990 s G29A 20000 21766.000 1 108.830 108.830 108.830 108.830 0.280 108.830 s G30A 97100 107013.910 4 110.210 110.210 110.210 110.210 0.100 110.210 s G31A 1730000 1892101.000 8 109.370 109.370 109.370 109.370 0.150 109.370 s BV18A 30000 31731.000 1 105.770 105.770 105.770 105.770 0.020 105.770 l HB17A 5000 5200.000 1 104.000 104.000 104.000 104.000 0.000 104.000 l HB18A 27000 29970.000 1 111.000 111.000 111.000 111.000 0.000 111.000 s MS23A 7300 7597.300 2 104.100 104.000 104.000 104.100 0.100 a similar tenor issued on 18 October 2013, representing a bid price of 99.9620 per 100 nominal. The yield from the 273-day bill auction was 0.604%, i.e. 0.5 basis point higher than on bills with a similar tenor issued on 6 September 2013, representing a bid price of 99.5441 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 91-day bills maturing on 29 November 2013 and 31 January 2014, respectively. YOUR FIRST CLICK OF THE DAY 2.630 s tenders for 28-day bills and 273-day bills maturing on 22 November 2013 and 25 July 2014, respectively. Bids of €27.0 million were submitted for the 28-day bills, with the Treasury accepting all bids, while bids of €59.5 million were submitted for the 273-day bills, with the Treasury accepting €5.5 million. Since €23.0 million worth of bills matured during the week, the outstanding balance of Treasury bills increased by €9.5 million, to stand at €444.45 million. The yield from the 28-day bill auction was 0.489%, i.e. 4.5 basis points higher than on bills with 104.070 The rates quoted above are against the EURO.