Issue link: https://maltatoday.uberflip.com/i/241771
13 BUSINESS & FINANCE maltatoday, WEDNESDAY, 15 JANUARY 2014 Money Market Report for the week ending January 10, 2014 ECB decisions On Thursday, January 9, the Governing Council of the European Central Bank (ECB) decided to keep the interest rate on the main refinancing operations (MRO) unchanged at 0.25%. Interest rates on the marginal lending facility and on the deposit facility were also left unchanged at 0.75% and 0.00%, respectively. ECB Monetary Operations On Monday, January 6, the ECB announced its weekly MRO. The auction was conducted on Tuesday, January 7, and attracted bids from euro area eligible counterparties of €112.46 billion, €56.20 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 0.25%, in accordance with current ECB policy. Also on Tuesday, January 7, the ECB conducted an auction for a sevenday fixed-term deposit intended to absorb €179.0 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, January 3. 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 0.25%. It attracted bids amounting to €185.80 billion, with the ECB allotting €179.0 billion, or 96.34% of the total bid amount. The marginal rate on the auction was set at 0.25%, with the weighted average rate at 0.17%. On Wednesday, January 8, 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 Regular market closed – 14/01/2014 Symbol Code Volume Traded Value Traded Trades High Price Low Price Open Price Close Price Change Twap t BOV 30677 81587.910 19 2.699 2.620 2.680 2.620 -0.040 2.660 t GO 5430 9998.350 2 1.845 1.840 1.840 1.845 -0.005 HSB 9000 23220.000 2 2.580 2.580 2.580 2.580 -0.020 2.580 l IHG 10000 8500.000 2 0.850 0.850 0.850 0.850 0.000 MIA 13200 28704.000 4 2.180 2.170 2.180 2.180 0.000 2.175 s SFC 3500 10128.800 3 2.895 2.890 2.895 2.890 0.040 www.maltatoday.com.mt 0.850 l 2.894 t G14C 23294 23787.840 2 102.120 102.120 102.120 102.120 -0.020 102.120 s G15F 8377000 8844433.200 3 105.580 105.410 105.410 105.580 0.210 105.580 s G17C 2000 2198.200 1 109.910 109.910 109.910 109.910 0.310 109.910 t G21A 1864 2148.260 1 115.250 115.250 115.250 115.250 -0.040 115.250 s G22B 499000 548730.000 6 110.200 109.920 109.920 110.200 0.540 109.970 s G23A 6989 8409.160 1 120.320 120.320 120.320 120.320 0.360 120.320 s G28A 64000 68646.400 3 107.260 107.260 107.260 107.260 0.650 107.260 s G28B 1266500 1313989.200 21 103.750 103.740 103.740 103.750 0.290 103.750 s G30A 157100 176234.780 4 112.180 112.180 112.180 112.180 0.680 112.180 s G31A 33000 36811.500 4 111.550 111.550 111.550 111.550 0.550 111.550 s G32AA 1718100 1770496.120 28 103.080 102.800 102.800 103.080 0.280 103.050 l CF19A 600 623.100 1 103.850 103.850 103.850 103.850 0.000 103.850 l GC16A 6300 5355.000 1 85.000 85.000 85.000 85.000 0.000 85.000 l MI17A 5000 5197.500 1 103.950 103.950 103.950 103.950 0.000 103.950 s MS23A 3200 3360.000 1 105.000 105.000 105.000 105.000 0.250 105.000 t TI20A 170900 180987.700 5 106.000 105.900 106.000 105.900 -0.100 The yield from the 91-day bill auction was 0.320%, i.e. 6.5 basis points lower than on bills with a similar tenor issued on December 27, 2013, representing a bid price of 99.9192 per 100 nominal. The yield from the 273-day bill auction was 0.500%, i.e. 2.0 basis points lower than on bills with a similar tenor issued on January 3, 2014, representing a bid price of 99.6223 per 100 nominal. During the week under review, there was no trading on the Malta Stock Exchange. On Tuesday the Treasury invited tenders for 90-day bills maturing on April 17, 2014. YOUR FIRST CLICK OF THE DAY 1.841 t Domestic Treasury Bill Market In the domestic primary market for Treasury bills, the Treasury invited tenders for 91-day and 273-day bills maturing on April 11 and October 10, 2014, respectively. Bids of €40.5 million were submitted for the 91-day bills, with the Treasury accepting €5.0 million, while bids of €36.5 million were submitted for the 273-day bills, with the Treasury accepting €2.0 million. Since €16.75 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €9.75 million, to stand at €223.37 million. 105.900 The rates quoted above are against the EURO.