Money Market Report for the week ending 29 September

ECB Monetary Operations

On 25 September, the European Central Bank (ECB) announced its weekly main refinancing operation (MRO). The operation was conducted on 26 September and attracted bids from euro area eligible counterparties of €4.21bn, €0.85bn 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 0.00%, in accordance with current ECB policy.

On 27 September, the ECB conducted a three-month, longerterm 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 operation attracted bids of €2.53bn from euro area eligible counterparties. The amount was allotted in full in accordance with current ECB policy.

Also on 27 September, the ECB conducted a seven-day US dollar funding operation through collateralised lending in conjunction with the US Federal Reserve. This operation attracted bids of $3.22bn, which was allotted in full at a fixed rate of 1.62%.

Domestic Treasury Bill Market

In the domestic primary market for Treasury bills, no auction was held by the Treasury. Since €2m worth of bills matured during the week, the outstanding balance of Treasury bills now stands at €129.4m.

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

This week there will be no auctions for Treasury bills.