Issue link: https://maltatoday.uberflip.com/i/495652
maltatoday, WEDNESDAY, 15 APRIL 2015 12 Business Today ECB Monetary Operations On Thursday, April 2, the European Central Bank (ECB) announced its weekly main refinancing operation (MRO). The auction was conducted on Tuesday, April 7, and attracted bids from euro area eligible counterparties of €108.26 billion, €4.67 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, April 3, 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 0.62% 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 181-day maturing on October 8, 2015. Bids of €55.00 million were submitted for the bills, with the Treasury accepting €12.00 million. Since €15.00 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €3.00 million, to stand at €205.14 million. The yield from the 181-day bill auction was 0.00%, down by 1 basis point from bids with a similar tenor issued on March 27, 2015, representing a bid price of 100.00 per 100 nominal. During the week under review, there was no trading on the Malta Stock Exchange. On Tuesday the Treasury invited tenders for 181-day bills, maturing on October 15, 2015. Regular market closed – 14/04/2015 Symbol Code Volume Traded Value Traded Trades High Price Low Price Open Price Close Price Change Twap s 6PM 2500 1875.000 1 0.750 0.750 0.750 0.750 0.020 0.750 l BOV 21263 48883.630 6 2.299 2.299 2.299 2.299 0.000 2.299 t GO 289 829.140 1 2.869 2.869 2.869 2.869 -0.001 2.869 t HSB 8851 18064.550 4 2.050 2.040 2.050 2.040 -0.020 2.041 s MDI 4000 1160.000 1 0.290 0.290 0.290 0.290 0.020 0.290 l MDS 1300 2574.000 1 1.980 1.980 1.980 1.980 0.000 1.980 l MSI 6095 7292.510 2 1.200 1.190 1.190 1.200 0.000 1.196 s RS2 70300 210618.250 8 3.000 2.985 2.985 3.000 0.010 2.996 t G15A 27953 28073.200 1 100.430 100.430 100.430 100.430 -0.070 100.430 t G15B 27721 28502.740 3 102.820 102.820 102.820 102.820 -0.020 102.820 t G16B 8000 8601.600 1 107.520 107.520 107.520 107.520 -0.040 107.520 t G17C 98000 108133.200 6 110.340 110.340 110.340 110.340 -0.090 110.340 t G18A 22130 27523.080 1 124.370 124.370 124.370 124.370 -0.070 124.370 t G19A 4659 5911.340 1 126.880 126.880 126.880 126.880 -0.070 126.880 t G19C 50000 55695.000 1 111.390 111.390 111.390 111.390 -0.060 111.390 s G21A 97011 123188.940 11 127.010 126.660 127.000 127.010 0.350 126.980 s G22A 93175 121956.760 1 130.890 130.890 130.890 130.890 0.010 130.890 s G22B 5000 6229.500 1 124.590 124.590 124.590 124.590 0.010 124.590 s G28A 8000 11246.400 1 140.580 140.580 140.580 140.580 0.010 140.580 t G28B 20000 27322.000 2 136.610 136.610 136.610 136.610 -0.460 136.610 s G30A 105000 156129.000 5 148.750 148.660 148.660 148.750 0.060 148.690 s G31A 78700 117113.910 6 149.000 148.740 148.740 148.770 0.030 148.810 s G32A 119500 168805.700 5 141.260 141.260 141.260 141.260 0.160 141.260 t G32B 17000 23424.300 2 137.790 137.790 137.790 137.790 -0.330 137.790 s G33A 215700 293914.960 7 136.280 136.020 136.260 136.280 0.090 136.260 t G34A 220500 299213.950 7 135.750 135.510 135.510 135.750 -0.300 135.700 s G40AA 703600 844298.790 65 120.010 119.850 120.000 120.010 0.010 120.000 l AX24A 10000 11044.680 2 110.500 110.220 110.500 110.220 0.000 110.450 l BV19A 16000 18186.000 4 113.750 113.500 113.500 113.750 0.000 113.660 s BV19B 25000 27500.000 2 110.000 110.000 110.000 110.000 1.000 110.000 s EF20A 25000 26716.900 3 108.000 106.510 108.000 106.510 1.010 106.870 l HB17A 10000 10551.000 1 105.510 105.510 105.510 105.510 0.000 105.510 s IH20A 6000 6186.000 1 103.100 103.100 103.100 103.100 0.050 103.100 s MI15A 10000 9594.600 3 96.030 95.000 95.000 96.030 1.030 95.950 s MO19A 4000 4249.200 2 106.230 106.230 106.230 106.230 0.040 106.230 l PG22A 45000 49447.500 4 110.000 109.750 110.000 110.000 0.000 109.880 s SF20A 800 856.640 1 107.080 107.080 107.080 107.080 0.070 107.080 Market Summary as at April 14, 2015 Equity Official List Session State ................................................................... closed Number of trades ............................................................. 174 Volume Traded ................................................................. 2,188,047 Value of € denominated securities .................................... 2,909,038.97 Value of US$ denominated securities ................................ 0.00 Value of GBP£ denominated securities .............................. 1,875 Current Index ................................................................... 3766.453 Previous Index ................................................................. 3767.884 Change in Index (%) ......................................................... -0.038% 6pm Holdings plc ........................... 0.750 2.74% Malta International Airport plc ........ 3.500 0.00% Bank of Valletta plc ......................... 2.299 0.00% MaltaPost plc .................................. 1.425 0.00% FIMBank plc ................................... 0.500 0.00% Medserv plc ................................... 1.980 0.00% GlobalCapital plc ............................ 0.800 0.00% Middlesea Insurance plc ................. 1.200 0.00% GO plc ............................................ 2.869 -0.03% MIDI plc ......................................... 0.290 7.41% Grand Harbour Marina plc .............. 1.900 0.00% Plaza Centres plc ............................ 0.951 0.00% HSBC Bank Malta plc ...................... 2.040 -0.97% RS2 Software plc............................. 3.000 0.33% International Hotel Investments plc 0.700 0.00% Simonds Farsons Cisk plc ................ 3.270 0.00% Island Hotels Group Holdings plc .... 1.020 0.00% Tigné Mall plc ................................. 0.752 0.00% Lombard Bank Malta plc ................. 1.950 0.00% Pefaco International plc .................. 2.190 0.00% Malita Investments plc .................... 0.970 0.00% Santumas Shareholdings plc .......... 2.000 0.00% Money Market Report for the week ending April 10, 2015 Market commentary: Markets await release of financial data It's a fairly busy calendar for us to look forward to in the finance world as earnings season picks up the pace in the US, Greece remains in the headlines and a G20 finance min- isters meeting tomorrow mark the non-data related highlights. On the data front, the UK CPI/ PPI/RPI readings for March will be released today at around 10.30am when the market is expecting the headline inflation reading to stay low. Inflation data out of Italy is also due while industrial production for the euro area is scheduled. In the US, March retail sales are the highlight while PPI (purchasing power index), and business inventories are all expected to add fuel to the speculation as to when the Fed will start to raise interest rates. A set of mixed results will result in adding to an already relatively volatile period. China today announces retail sales, industrial production, fixed assets and most importantly Q1 GDP figures. In Japan industrial production and capacity utilisation are expected. Inflation data will be the highlight in Europe with the final March CPI reading for Germany due as well as the preliminary number in France. The ECB meeting is also due to take place as well as the February trade data for the region. In the US today we've got industrial production, empire manufacturing, capacity utilisation, manufacturing production, NAHB housing market index and the release of the Fed's Beige Book, all due. There is little in the way of data in the Asia or Europe time zones tomorrow, however in the US we've got housing starts, building permits, jobless claims and the Philadelphia Fed business outlook all due. We round off the week on Friday in Europe with the final March CPI reading for the Euro area as well as employment indicators out of the UK. Inflation data will be the highlight over in the US meanwhile with market consensus for a +0.1% YoY core. Average weekly earnings, leading index and University of Michigan consumer sentiment round off the week's prints. Earnings season The big talking point over the full season will be how much the dollar is impacting results and whether we'll get an earnings recession. Out of the 24 companies to have reported so far in the S&P 500, 16 have cited some sort of negative impact or sentiment towards the strong dollar in their Q1 earnings transcripts so far. There's talk that banks may surprise to the upside in this earnings season (JP Morgan and Wells Fargo reported yesterday, Bank of America today, Citigroup and Goldman Sachs tomorrow) and these might out- perform, given supportive financial market conditions so far in 2015. UK inflation is expected to be a headline this week with the possibility of the first YoY deflation since 1960. With 10 year bond yields closing at 0.153% last week and so much debate about the Fed's plans in 2015 inflation numbers from all of the major economies are going to be very important over the coming months. Greece will likely continue to be front and centre for the coming weeks as markets hope to see some progress over its structural reform measures. This article was issued by Simon Psaila Trader/Analyst at Calamatta Cuschieri. For more information visit, www.cc.com.mt . The information, views and opinions provided in this article are 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.