Issue link: https://maltatoday.uberflip.com/i/426299
maltatoday, WEDNESDAY, 3 DECEMBER 2014 11 Business Today www.creditinfo.com.mt info@creditinfo.com.mt Tel: 2131 2344 Your Local Partner for Credit Risk Management Solutions Supporting you all the way Exchange Rates Issue Date: 02-Dec-14 Set: 3 Issue Time: 14:43:55 Value Date: 04/12/2014 except AED value 08/12/2014 Currency Cash Cash Non-Cash Non-Cash Revaluation Buying Selling Selling Buying British Pound (GBP) 0.8280 0.7695 0.7735 0.8131 0.7933 United States Dollar (USD) 1.2962 1.2046 1.2109 1.2729 1.2419 Swiss Franc (CHF) 1.2574 1.1686 1.1746 1.2348 1.2047 Australian Dollar (AUD) 1.5336 1.4252 1.4326 1.5060 1.4693 Canadian Dollar (CAD) 1.4722 1.3682 1.3752 1.4458 1.4105 Japanese Yen (JPY) 154.4500 143.5406 144.2805 151.6795 147.9800 Danish Krone (DKK) 7.7700 7.2200 7.2500 7.6300 7.4400 Swedish Kronor (SEK) 9.6900 9.0000 9.0500 9.5100 9.2800 Hong Kong Dollar (HKD) 10.0521 9.3419 9.3900 9.8716 9.6308 Norwegian Krone (NOK) 9.0800 8.4400 8.4800 8.9200 8.7000 New Zealand Dollar (NZD) 1.6558 1.5388 1.5467 1.6261 1.5864 Singapore Dollar (SGD) 1.6945 1.5748 1.5829 1.6641 1.6235 South African Rand (ZAR) 14.3490 13.3351 13.4038 14.0912 13.7475 Czech Koruna (CZK) 28.8100 26.7700 26.9100 28.2900 27.6000 Polish Zloty (PLN) 4.3400 4.0400 4.0578 4.2658 4.1618 Hungarian Forint (HUF) 337.3705 288.3008 299.0341 314.3666 306.7014 Moroccan Dirham (MAD) 12.1330 10.3682 ********* ********* 11.0300 Tunisian Dinar (TND) 2.3900 2.2300 2.2369 2.3517 2.2943 United Arab Emirates Dirham (AED) 5.0172 4.2874 4.4471 4.6751 4.5611 Bahraini Dinar (BHD) 0.5150 0.4401 ********* ********* 0.4682 Gibraltar Pound (GIP) 0.8722 0.7453 ********* ********* 0.7929 Israeli New Sheqel (ILS) 5.4199 4.6316 ********* ********* 4.9272 Kuwaiti Dinar (KWD) 0.3983 0.3404 ********* ********* 0.3621 Saudi Riyal (SAR) 5.1268 4.3811 ********* ********* 4.6607 Turkish New Lira (TRY) ********* ********* 2.6959 2.8341 2.7650 Thailand BAHT (THB) ********* ********* 39.7749 41.8148 40.7948 Chinese Renminbi (CNY Onshore) ********* ********* 7.4459 7.8277 7.6368 Chinese Renminbi (CNH Offshore) ********* ********* 7.4528 7.8350 7.6439 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. 16.36 16.40 1200.58 1201.52 US Dollars per TROY ounce Value Date Currency Same Day EUR/GBP/USD/CAD 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 PUBLIC Regular market closed –2/12/2014 Symbol Code Volume Traded Value Traded Trades High Price Low Price Open Price Close Price Change Twap ● 6PM 5512 3858.400 1 0.700 0.700 0.700 0.700 0.000 0.700 ▼ BOV 33334 74814.190 13 2.249 2.240 2.249 2.240 -0.010 2.244 ▼ CW 4200 3483.460 2 0.830 0.829 0.829 0.830 -0.020 0.829 ▼ FIM 8589 5153.400 1 0.600 0.600 0.600 0.600 -0.030 0.600 ● GO 185 469.900 1 2.540 2.540 2.540 2.540 0.000 2.540 ▲ HSB 3817 7328.640 3 1.920 1.920 1.920 1.920 0.010 1.920 ● IHG 3957 3363.450 1 0.850 0.850 0.850 0.850 0.000 0.850 ▲ LQS 11500 1380.000 2 0.120 0.120 0.120 0.120 0.005 0.120 ● MDI 20000 4200.000 1 0.210 0.210 0.210 0.210 0.000 0.210 ● MDS 20000 27400.000 5 1.370 1.370 1.370 1.370 0.000 1.370 ▼ MIA 2500 5825.000 1 2.330 2.330 2.330 2.330 -0.070 2.330 ▼ G22B 5000 5946.500 2 118.930 118.930 118.930 118.930 -0.200 118.930 ▲ G23A 15841 20506.170 2 129.450 129.450 129.450 129.450 0.410 129.450 ▲ G28A 360000 452268.000 1 125.630 125.630 125.630 125.630 0.570 125.630 ▲ G28B 360000 439518.000 7 122.100 122.000 122.000 122.100 0.360 122.090 ▲ G29A 50000 64320.000 1 128.640 128.640 128.640 128.640 0.340 128.640 ▲ G30A 360000 467527.100 5 129.870 129.800 129.800 129.870 0.440 129.870 ▲ G31A 50000 63985.000 1 127.970 127.970 127.970 127.970 0.250 127.970 ▲ G32A 9600 11473.920 1 119.520 119.520 119.520 119.520 0.250 119.520 ▼ G32B 40000 46576.000 2 116.440 116.440 116.440 116.440 -0.050 116.440 ▲ G33A 1000 1135.200 1 113.520 113.520 113.520 113.520 0.350 113.520 ▲ G34A 445000 492234.000 14 110.750 110.450 110.450 110.750 0.340 110.610 ● GC16A 35800 35800.000 4 100.000 100.000 100.000 100.000 0.000 100.000 ▼ HM24A 40600 42020.800 11 103.750 103.000 103.750 103.740 -0.010 103.500 ▼ MI17A 3000 2715.000 1 90.500 90.500 90.500 90.500 -2.000 90.500 ▼ MI21A 5000 4650.000 1 93.000 93.000 93.000 93.000 -1.000 93.000 ▲ PG20A 50000 53000.000 2 106.000 106.000 106.000 106.000 0.450 106.000 Money Market Report for the week ending November 28, 2014 ECB Monetary Operations On Monday, November 24, the European Central Bank (ECB) announced its weekly main refinancing operation (MRO). The auction was conducted on Tuesday, November 25, and attracted bids from euro area eligible counterparties of €114.30 billion, €11.72 billion higher 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, November 26, the ECB conducted a three-month longer-term refinancing operation to be settled as a fixed rate tender procedure with full allotment, with the rate fixed at the average rate of the MROs over the life of the operation. The auction attracted bids of €18.35 billion from euro area eligible counterparties, which amount was allotted in full in accordance with current ECB policy. Also on Wednesday, November 26, 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 0.62% 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 tenders for 26-day and 91- day bills maturing on December 24, 2014, and February 27, 2015, respectively. Bids of €33.50 million were submitted for the 26-day bills, with the Treasury accepting €15.50 million, while bids of €36.50 million were submitted for the 91-day bills, with the Treasury accepting €5.00 million. Since €28.00 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €7.50 million to stand at €240.99 million. The yield from the 26-day bill auction was 0.067%, i.e. 0.4 basis point lower than on bills with a similar tenor issued on November 21, 2014, representing a bid price of 99.9952 per 100 nominal. The yield from the 91-day bill auction was 0.085%, i.e. 0.5 basis point lower than on bills with a similar tenor issued on November 21, 2014, representing a bid price of 99.9785 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 March 6, 2015 and June 5, 2015, respectively. Market commentary: Disappointing PMI data results in profi t-taking Risky assets, most notably within the Eurozone, were in buoyant mode for yet another week last week (only to take a breather yes- terday on the bout of profit taking moves) as expectations of a fresh wave of QE by the ECB continued to mount as a rally in sovereign bonds dragged benchmark yields lower and subsequently the yields on other asset classes, from IG bond to higher yielding bonds. Talk of the inclusion of corporate bonds forming part of the QE programme remained intact. In fact, recent comments by the ECB's Draghi and Constâncio (president and vice-president respectively), indicated that QE only needs to be made a formality. Ahead of Thursday's rate setting meeting, the market will continue to expect an announcement of a broadening of ECB asset purchases, with the inflationary expectations being the focal point of the press conference. What the markets took particular note of last week was the emphasis on how sovereign QE would work. The level of detail given at conferences indicates that talks are at a somewhat advanced stage. Interesting to note that, with the exception of the highly successful Securities Market Programme (SMP), a sovereign QE programme would be the first time that the ECB directly purchases sovereign bonds across the Euro area, which, according to a recent report published by Goldman Sachs, is likely to result in a convergence of sovereign yields across the Euro area, resulting in more compressed spreads against the benchmark German bund. This will render the forthcoming QE programme to be somewhat different from conventional monetary easing by the ECB. In the US, the season of the handing out of gifts is in full swing now, with Thanksgiving (and Black Friday) last week and the December (and Christmas) period in only a few weeks' time. Indications by a number of large US retailers are skewing towards the positive side as lower oil prices are expected to provide a boost to real consumer spending. With inflation continuing to tick upwards, and the Fed's tone in recent meetings and announcement on the hawkish side, it would be unthinkable for the Fed not to begin rate hikes in 2015, with the incoming economic data being at the forefront of the Fed's decision making process. It's a data laden week on both sides of the Atlantic, with some key PMIs, retail sales and GDP data in the Eurozone on one hand, and PMI, employment data, factory orders and consumer credit, coupled with some key Fed members' speeches in the US, looking to set the tone for the remainder of the week. Within the LatAm space, following last October's presidential election, the markets were eagerly awaiting to see how Brazilian president will structure her cabinet, and most importantly, the economic team whose arduous task is that of shoring up the country's economy. The (positive) outcome caught the market unawares, resulting in a positive bout of Brazilian risk assets last week. Despite this, the economic climate and its conditions in Brazil remain challenging to say the least, and the new economic team has got quite a long road ahead of them. Meanwhile, following the most recent dissolution of parliament by Shinzo Abe, Japan is clearly in election mode, with a recent opinion poll indicating that only a third of the electorate are on the prime minister's side when it comes to approval of economic policy. Furthermore, the opinion poll indicated that, on the contrary, the 'Abenomics' policies had an adverse effect and resulted in an erosion of consumer purchasing power following a sharp depreciation of the yen. Despite this, overall, the current (or rather incumbent) administration is expected to get the electorate's nod to sit out another mandate. Overnight, Moody's announced that it downgraded Japan's credit rating to A1 from A3, and placed a stable out on Japan. 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.