Money Mar­ket Re­port for the week end­ing Novem­ber 25, 2016

Malta Independent - - BUSINESS -

ECB Mon­e­tary Op­er­a­tions

On Mon­day, Novem­ber 21, the Euro­pean Cen­tral Bank (ECB) an­nounced its weekly main re­fi­nanc­ing op­er­a­tion (MRO). The op­er­a­tion was con­ducted on Tues­day, Novem­ber 22, and at­tracted bids from euro area el­i­gi­ble coun­ter­par­ties of €33.72 billion, €1.08 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 0.00%, in ac­cor­dance with cur­rent ECB pol­icy.

On Wed­nes­day, Novem­ber 23, the ECB con­ducted a six-day US dol­lar fund­ing op­er­a­tion through col­lat­er­alised lend­ing in con­junc­tion with the US Fed­eral Re­serve. This op­er­a­tion at­tracted bids of $1.34 billion, which was al­lot­ted in full at a fixed rate of 0.89%.

Do­mes­tic Trea­sury Bill Mar­ket

In the do­mes­tic pri­mary mar­ket for Trea­sury bills, the Trea­sury in­vited ten­ders for 28-day and 182-day bills ma­tur­ing on De­cem­ber 22, 2016 and May 25, 2017, re­spec­tively. Bids of €40.00 mil­lion were sub­mit­ted for the 28-day bills, with the Trea­sury ac­cept­ing €3.00 mil­lion, while bids of €60.00 mil­lion were sub­mit­ted for the 182-day bills, with the Trea­sury ac­cept­ing €30.00 mil­lion. Since €12.00 mil­lion worth of bills ma­tured dur­ing the week, the out­stand­ing bal­ance of Trea­sury bills in­creased by €21.00 mil­lion, to stand at €271.00 mil­lion.

The yield from the 28-day bill auc­tion was -0.394%, down by 0.1 ba­sis point from bids with a sim­i­lar tenor is­sued on Novem­ber 17, 2016, rep­re­sent­ing a bid price of 100.0307 per 100 nom­i­nal. The yield from the 182-day bill auc­tion was -0.386%, down by 0.7 ba­sis point from bids with a sim­i­lar tenor is­sued on Oc­to­ber 27, 2016, rep­re­sent­ing a bid price of 100.1955 per 100 nom­i­nal.

Dur­ing the week under re­view, there was no trad­ing on the Malta Stock Ex­change.

On Tues­day the Trea­sury in­vited ten­ders for 28-day and 91day bills ma­tur­ing on De­cem­ber 29, 2016 and March 2, 2017, re­spec­tively.

Newspapers in English

Newspapers from Malta

© PressReader. All rights reserved.