Issue link: https://maltatoday.uberflip.com/i/385963
maltatoday, WEDNESDAY, 24 SEPTEMBER 2014 11 Business Today Money Market Report for the week ending September 19, 2014 Exchange Rates Issue Date: 23-Sep-14 Set: 2 Issue Time: 14:33:06 Value Date: 25/09/2014 Except ZAR Value 26/9/14 Currency Cash Cash Non-Cash Non-Cash Revaluation Buying Selling Selling Buying British Pound (GBP) 0.8201 0.7621 0.7661 0.8053 0.7857 United States Dollar (USD) 1.3453 1.2502 1.2567 1.3211 1.2889 Swiss Franc (CHF) 1.2598 1.1708 1.1768 1.2372 1.2070 Australian Dollar (AUD) 1.5129 1.4060 1.4133 1.4857 1.4495 Canadian Dollar (CAD) 1.4835 1.3787 1.3858 1.4568 1.4213 Japanese Yen (JPY) 145.9900 135.6739 136.3733 143.3668 139.8700 Danish Krone (DKK) 7.7700 7.2200 7.2500 7.6300 7.4400 Swedish Kronor (SEK) 9.5700 8.8900 8.9400 9.4000 9.1700 Hong Kong Dollar (HKD) 10.4278 9.6910 9.7409 10.2405 9.9907 Norwegian Krone (NOK) 8.5200 7.9200 7.9600 8.3600 8.1600 New Zealand Dollar (NZD) 1.6589 1.5417 1.5497 1.6291 1.5894 Singapore Dollar (SGD) 1.7047 1.5842 1.5924 1.6740 1.6332 South African Rand (ZAR) 14.9332 13.8781 13.9496 14.6650 14.3073 Czech Koruna (CZK) 28.7200 26.6900 26.8271 28.2029 27.5150 Polish Zloty (PLN) 4.3600 4.0500 4.0706 4.2794 4.1750 Hungarian Forint (HUF) 342.2196 292.4404 303.3244 318.8776 311.1097 Moroccan Dirham (MAD) 12.2320 10.4528 ********* ********* 11.1200 Tunisian Dinar (TND) 2.3900 2.2200 2.2324 2.3468 2.2896 United Arab Emirates Dirham (AED) 5.2075 4.4501 4.6157 4.8525 4.7341 Bahraini Dinar (BHD) 0.5346 0.4568 ********* ********* 0.4860 Gibraltar Pound (GIP) 0.8642 0.7385 ********* ********* 0.7856 Israeli New Sheqel (ILS) 5.1855 4.4313 ********* ********* 4.7141 Kuwaiti Dinar (KWD) 0.4073 0.3481 ********* ********* 0.3703 Saudi Riyal (SAR) 5.3178 4.5443 ********* ********* 4.8344 Turkish New Lira (TRY) ********* ********* 2.8090 2.9530 2.8810 Thailand BAHT (THB) ********* ********* 40.4840 42.5601 41.522 Chinese Renminbi (CNY Onshore) ********* ********* 7.7132 8.1088 7.9110 Chinese Renminbi (CNH Offshore) ********* ********* 7.7199 8.1157 7.9178 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. 17.76 17.86 1228.20 1228.60 SILVER 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 PUBLIC Regular market closed –23/09/2014 Symbol Code Volume Traded Value Traded Trades High Price Low Price Open Price Close Price Change Twap t BOV 9143 20326.310 10 2.230 2.210 2.230 2.210 -0.010 2.223 s GO 3250 8322.000 3 2.570 2.540 2.540 2.570 0.030 2.561 l HSB 4277 8470.460 3 1.981 1.980 1.981 1.980 0.000 1.980 l LOM 22050 36360.450 3 1.649 1.649 1.649 1.649 0.000 1.649 t MIA 3000 7050.000 1 2.350 2.350 2.350 2.350 -0.010 2.350 t RS2 2800 8215.200 1 2.934 2.934 2.934 2.934 -0.016 2.934 t G15A 8153 8491.350 1 104.150 104.150 104.150 104.150 -0.050 104.150 t G15B 18635 19728.870 2 105.870 105.870 105.870 105.870 -0.020 105.870 t G16A 233 255.250 1 109.550 109.550 109.550 109.550 -0.010 109.550 s G16B 23294 25518.580 1 109.550 109.550 109.550 109.550 0.020 109.550 s G17C 12000 13371.600 2 111.430 111.430 111.430 111.430 0.100 111.430 s G19C 25000 27380.000 1 109.520 109.520 109.520 109.520 0.230 109.520 s G20A 6989 8488.840 1 121.460 121.460 121.460 121.460 0.390 121.460 s G20B 45000 53082.000 2 117.960 117.960 117.960 117.960 0.420 117.960 s G21A 106084 129475.520 3 122.050 122.050 122.050 122.050 0.070 122.050 s G22A 5824 7190.890 1 123.470 123.470 123.470 123.470 0.410 123.470 s G22B 10000 11751.000 2 117.510 117.510 117.510 117.510 0.070 117.510 s G23A 233 297.420 1 127.650 127.650 127.650 127.650 0.470 127.650 s G28A 41000 49958.500 2 121.850 121.850 121.850 121.850 0.660 121.850 s G28B 52700 62349.370 3 118.310 118.310 118.310 118.310 0.250 118.310 s G29A 15000 18670.500 1 124.470 124.470 124.470 124.470 0.700 124.470 s G30A 67800 85177.140 6 125.630 125.630 125.630 125.630 0.260 125.630 s G32A 93800 108379.400 7 115.550 115.500 115.500 115.550 0.260 115.540 s G32B 131500 148161.050 3 112.670 112.670 112.670 112.670 0.200 112.670 s G33A 65000 71701.500 3 110.310 110.310 110.310 110.310 0.290 110.310 s G34AA 611300 656905.930 22 107.500 107.430 107.430 107.470 0.320 107.460 s GC16A 40000 38000.000 1 95.000 95.000 95.000 95.000 5.000 95.000 l MB15A 7000 7140.000 1 102.000 102.000 102.000 102.000 0.000 102.000 l MB19A 15000 15712.500 1 104.750 104.750 104.750 104.750 0.000 104.750 t MI15A 15000 14393.000 3 96.000 95.900 96.000 95.900 -0.100 95.950 t MI17A 8000 7520.600 3 94.010 94.000 94.010 94.000 -3.000 94.010 t MI21A 5000 4912.500 1 98.250 98.250 98.250 98.250 -0.250 98.250 s MS23A 7000 7385.000 2 105.500 105.500 105.500 105.500 0.400 105.500 ECB Monetary Operations On Monday, September 8, the European CeOn Monday, September 15, the European Central Bank (ECB) announced its weekly main refinancing operation (MRO). The auction was conducted on Tuesday, September 16, and attracted bids from euro area eligible counterparties of €105.69 billion, €5.01 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 0.05%, in accordance with current ECB policy. On Wednesday, September 17, 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 $0.02 billion, which was allotted in full at a fixed rate of 0.59%. Furthermore, on Thursday, September 18, the ECB conducted the first Targeted Longer Term Refinancing Operation, as announced in the press release of Thursday, June 5. This operation attracted bids of €82.60 billion, which was allotted in full at a fixed rate of 0.15%. Domestic Treasury Bill Market In the domestic primary market for Treasury bills, the Treasury invited tenders for 91-day bills maturing on December 19, 2014. Bids of €73.50 million were submitted, with the Treasury accepting €10.00 million. Since €26.50 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €16.50 million, to stand at €317.07 million. The yield from the 91-day bill auction was 0.119%, i.e. 2.7 basis points lower than on bills with a similar tenor issued on September 12, 2014, representing a bid price of 99.9699 per 100 nominal. During the week under review, there was no trading on the Malta Stock Exchange. On Tuesday the Treasury invited tenders for 89- day and 182-day bills, maturing on December 24, 2014, and March 27, 2015, respectively. Relatively quiet week ahead on the data front Last week had the potential of causing some market panic. This clearly was not the case and the ingredients which were touted as having the potential to dent market sentiment proved oth- erwise, which outcomes favoured market bulls. The next main hurdle for markets is the forthcoming Asset Quality Review results, due to be re- leased in October, which could bring about some volatility in the run up to the event as the market frets and specu- lates about the results and possible out- comes. There is also the second tranche of the TLTRO, but that will not happen till December. None of these events are expected to be credit negative. However, in a scenario whereby inflation remains stubbornly low (possible entering into a deflationary scenario) and meagre growth in the euro area (with talks of, who knows, perhaps another recession in the euro zone), investors should not be at fault for wondering whether the ECB has used up all its ammunition and no longer 'has what it takes', as the region's overall economy has clearly not responded to the several bouts of stimulus being thrown at it from the ECB. Evidently, the US and China are in a better shape and have come a long way, but this does not mean that either of the two will be in a position to help the eurozone out of the crisis, adding further impetus to the notion that the "Japanification" of the European markets could pretty well be round the corner. Only time will tell as markets continue to take cue from incoming economic data and developments surrounding the geo-political crisis, and the economic implications it is having (and could possibly continue to have as long as the sanctions remain in force and in place) on not only the effected regions but the possible infiltrations into the global economy. The week ahead is a relatively quiet week on the data front, but there are a number of key business survey data, namely the HSBC flash PMI for China and the Markit flash composite PMI for the Euro area, with indications pointing towards minimal movement in either direction. The US flash manufacturing PMI is also expected to be unchanged, indicating that activity remains somewhat robust. But not yesterday we've had disappointing pending home sales in the US, dropping by 1.8% during August over the previous month. On a final note, US GDP Final data is expected to be released later on this week, with consensus expecting a upward revision to 4.6%. 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.