Issue link: https://maltatoday.uberflip.com/i/378361
maltatoday, WEDNESDAY, 10 SEPTEMBER 2014 11 Business Today Money Market Report for the week ending September 5, 2014 Exchange Rates Issue Date: 09-Sep-14 Set: 2 Issue Time: 14:41:44 Value Date: 11/09/2014 Currency Cash Cash Non-Cash Non-Cash Revaluation Buying Selling Selling Buying British Pound (GBP) 0.8355 0.7765 0.7805 0.8205 0.8005 United States Dollar (USD) 1.3452 1.2501 1.2566 1.3210 1.2888 Swiss Franc (CHF) 1.2588 1.1698 1.1759 1.2362 1.2060 Australian Dollar (AUD) 1.4505 1.3480 1.3550 1.4244 1.3897 Canadian Dollar (CAD) 1.4773 1.3729 1.3800 1.4508 1.4154 Japanese Yen (JPY) 142.8100 132.7154 133.3995 140.2405 136.8200 Danish Krone (DKK) 7.7800 7.2300 7.2600 7.6400 7.4500 Swedish Kronor (SEK) 9.5700 8.8900 8.9400 9.4000 9.1700 Hong Kong Dollar (HKD) 10.4245 9.6879 9.7378 10.2372 9.9875 Norwegian Krone (NOK) 8.5300 7.9200 7.9700 8.3700 8.1700 New Zealand Dollar (NZD) 1.6272 1.5122 1.5200 1.5980 1.5590 Singapore Dollar (SGD) 1.6966 1.5767 1.5849 1.6661 1.6255 South African Rand (ZAR) 14.6999 13.6612 13.7316 14.4358 14.0837 Czech Koruna (CZK) 28.9000 26.8600 26.9978 28.3823 27.6900 Polish Zloty (PLN) 4.3900 4.0800 4.1004 4.3106 4.2055 Hungarian Forint (HUF) 348.7967 298.0626 309.1668 325.0130 317.0879 Moroccan Dirham (MAD) 12.2320 10.4528 ********* ********* 11.1200 Tunisian Dinar (TND) 2.3800 2.2100 2.2228 2.3368 2.2798 United Arab Emirates Dirham (AED) 5.2071 4.4497 4.6154 4.8520 4.7337 Bahraini Dinar (BHD) 0.5345 0.4567 ********* ********* 0.4859 Gibraltar Pound (GIP) 0.8804 0.7524 ********* ********* 0.8004 Israeli New Sheqel (ILS) 5.1261 4.3805 ********* ********* 4.6601 Kuwaiti Dinar (KWD) 0.4065 0.3473 ********* ********* 0.3695 Saudi Riyal (SAR) 5.3167 4.5434 ********* ********* 4.8334 Turkish New Lira (TRY) ********* ********* 2.7646 2.9064 2.8355 Thailand BAHT (THB) ********* ********* 40.3096 42.3767 41.3432 Chinese Renminbi (CNY Onshore) ********* ********* 7.7107 8.1061 7.9084 Chinese Renminbi (CNH Offshore) ********* ********* 7.7127 8.1083 7.9105 All Chinese Renminbi transactions, irrespective of amounts, are to be referred to Branches or Treasury. Rates shown here are indicative only and are subject to change without notice. The final exchange rate offered by the bank /applied to your transaction may vary from the rate indicated here. Our staff at the Branches or Treasury will be pleased to provide you with exchange rates for your specific transactions. The rates quoted above are against the euro. 18.98 19.03 1256.05 1256.35 GOLD D + 1 SEPA payments and payments sent to countries and in the currencies regulated by the Payments Services Directive (PSD) D + 2 All Other Currencies US Dollars per TROY ounce Value Date Currency Same Day EUR/GBP/USD/CAD SILVER PUBLIC Regular market closed – 09/09/2014 Symbol Code Volume Traded Value Traded Trades High Price Low Price Open Price Close Price Change Twap s BOV 31200 70595.110 16 2.270 2.250 2.260 2.270 0.010 2.263 s GO 2000 4996.000 2 2.498 2.498 2.498 2.498 0.008 2.498 l HSB 9950 20298.000 5 2.040 2.040 2.040 2.040 0.000 2.040 l IHI 6000 3840.000 2 0.640 0.640 0.640 0.640 0.000 0.640 l MDS 3834 4888.350 1 1.275 1.275 1.275 1.275 0.000 1.275 s MIA 10400 24128.000 2 2.320 2.320 2.320 2.320 0.020 2.320 l MSI 1019 936.890 2 0.930 0.915 0.915 0.930 0.000 0.919 s SFC 1550 4247.000 1 2.740 2.740 2.740 2.740 0.030 2.740 l TML 471130 241426.630 6 0.515 0.510 0.511 0.515 0.000 0.512 t G14B 6057 6129.080 1 101.190 101.190 101.190 101.190 -0.090 101.190 l G15A 18870 19681.420 3 104.300 104.300 104.300 104.300 0.000 104.300 s G15B 5825 6175.670 3 106.020 106.020 106.020 106.020 0.070 106.020 s G16A 16308 17893.140 2 109.720 109.720 109.720 109.720 0.040 109.720 t G19C 93000 101565.300 3 109.210 109.210 109.210 109.210 -0.040 109.210 t G21A 3500 4261.600 2 121.760 121.760 121.760 121.760 -0.070 121.760 t G22B 1200 1405.440 1 117.120 117.120 117.120 117.120 -0.070 117.120 s G28A 28000 33734.400 3 120.480 120.480 120.480 120.480 0.130 120.480 t G28B 12900 15082.680 2 116.920 116.920 116.920 116.920 -0.050 116.920 s G29A 12000 14733.600 1 122.780 122.780 122.780 122.780 0.060 122.780 t G30A 30000 37161.000 5 123.870 123.870 123.870 123.870 -0.130 123.870 s G31A 7000 8540.700 1 122.010 122.010 122.010 122.010 0.020 122.010 s G32A 31700 36065.090 2 113.770 113.770 113.770 113.770 0.030 113.770 l G32B 92000 102103.600 6 111.000 110.790 110.960 110.790 0.000 110.980 t G33A 137500 149364.800 4 108.650 108.600 108.650 108.600 -0.010 108.630 t G34AA 544500 575624.800 9 105.750 105.700 105.750 105.700 -0.050 105.720 s AX24A 5700 6042.000 2 106.000 106.000 106.000 106.000 0.010 106.000 t CF19A 20000 20500.000 1 102.500 102.500 102.500 102.500 -0.010 102.500 s GF21A 1200 1226.400 1 102.200 102.200 102.200 102.200 0.200 102.200 l HB17A 15000 15564.000 1 103.760 103.760 103.760 103.760 0.000 103.760 l MB19A 30000 31425.000 1 104.750 104.750 104.750 104.750 0.000 104.750 t MF24A 43000 44109.400 3 102.580 102.580 102.580 102.580 -1.920 102.580 l MI15A 3500 3325.000 2 95.000 95.000 95.000 95.000 0.000 95.000 l MI17A 12000 11280.000 2 94.000 94.000 94.000 94.000 0.000 94.000 ECB decisions On Thursday, September 4, the Governing Council of the European Central Bank (ECB) reduced the rate on its main refinancing operations (MRO) by 10 basis points to 0.05% with effect from Wednesday, September 10, 2014. Furthermore, with effect from the same date, the ECB also reduced the rate on the marginal lending facility by 10 basis points to 0.30%, and the overnight deposit rate by 10 basis points to -0.20%. ECB Monetary Operations On Monday, September 1, the ECB announced its weekly MRO. The auction was conducted on Tuesday, September 2, and attracted bids from euro area eligible counterparties of €111.20 billion, €20.56 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 0.15%, in accordance with current ECB policy. On Wednesday, September 3, the ECB conducted a seven-day US dollar funding operation through collateralised lending in conjunction with the US Federal Reserve. This operation attracted one bid of $0.08 billion, which was allotted in full at a fixed rate of 0.59%. Domestic Treasury Bill Market In the domestic primary market for Treasury bills, the Treasury invited tenders for 91-day bills maturing on December 5, 2014. Bids of €36.00 million were submitted for the 91-day bills, with the Treasury accepting €5.00 million. Since €10.00 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €5.00 million, to stand at €347.07 million. The yield from the 91-day bill auction was 0.175%, i.e. 3.4 basis points lower than on bills with a similar tenor issued on August 29, 2014, representing a bid price of 99.9558 per 100 nominal. During the week under review, there was no trading on the Malta Stock Exchange. On Tuesday the Treasury invited tenders for 91- day and 182-day bills maturing on December 12, 2014 and March 13, 2015, respectively. Market Commentary: British pound crashes to 10-month low Markets were trading flat yesterday after the number of Scottish voters in favour of independence from the UK increased. The latest poll shows that of all the adults surveyed, 39% are backing a "No" vote, 38% a "Yes" vote and 23% are undecided. The Scottish referendum will take place on 18 September. The pound crashed to a 10-month low on Monday and £2.3 billion was wiped off the value of the six FTSE- 100 companies based in Scotland on the first day of trading since a weekend poll put the Yes campaign ahead for the first time. RBS and Lloyds remain in the spotlight. Investors are becoming increasingly concerned about the outcome of the Sept. 18 referendum. RBS which is 80% owned by the government, is the second-largest lender in Scotland behind Lloyds Banking Group. While the UK government has sold 7.4 billion pounds of Lloyds shares, it has been unable to sell its stake in RBS as the stock remains below the price where taxpayers will break even on their 45 billion-pound bailout in 2008. If there's a Yes vote it will undoubtedly have to defer the timeframe for the stake being placed until things become clearer about the future of Scotland and the shape and structure of RBS. Equally, it's difficult to believe investors would be happy to take part in a further placing of Lloyds with their future being very uncertain. Moving on to the Russia- Ukraine conflict, European Union governments abruptly put on hold for at least a few days new sanctions against Russia, allowing more time to assess the viability of a cease-fire in Ukraine without risking further trade retaliation by the Kremlin. The EU's second package of economic penalties against Russia was delayed late yesterday in Brussels by the bloc's 28 governments, which approved the measures in principle while stopping short of giving the green light for their publication in the Official Journal and entry into force. In corporate news, Apple is in the spotlight once again. Today, the Company is hosting a special media event-debut of its latest iphones. Apple's prospects seem a lot brighter than they were the last time Tim Cook introduced an iPhone. When Chief Executive Officer Cook unveiled two new smartphone models 12 months ago, Apple's stock was slumping and the company was losing market share to Samsung and low-cost manufacturers such as Xiaomi Corp. Questions abounded about whether Apple could keep innovating without co-founder Steve Jobs. Fast forward to a year later and the company's stock is flirting with a record high. Anticipation is building for the bigger- screen iPhones, a wearable device and a mobile-payments system. Even the recent stolen pictures of naked celebrities such as Kate Upton from Apple's iCloud service have done little to derail investor enthusiasm. Ikea Group, the world's largest furniture seller, said full-year sales rose 3% as consumers flocked to its online stores and spending accelerated in China. Revenue increased to 28.7 billion euros ($37 billion) in the twelve months through August. The flat-pack furniture retailer's same-store sales gained 3.6%. Ikea Group, which owns the majority of the world's Ikea stores, is seeking to double sales by 2020 by improving existing shops, opening new ones, expanding online offerings and introducing new collections more frequently. JP Morgan added Valeo to its focus list because they see the company as having superior order intake, expected higher margins from future orders and low exposure to Russia and Latin America. This article was issued by Calamatta Cuschieri, visit www.cc.com.mt for more information. The information, view and opinions provided in this article is being provided solely for educational and informational purposes and should not be construed as investment advice, advice concerning particular investments or investment decisions, or tax or legal advice. Calamatta Cuschieri & Co. Ltd has not verified and consequently neither warrants the accuracy nor the veracity of any information, views or opinions appearing on this website. YOUR FIRST CLICK OF THE DAY www.maltatoday.com.mt