$ Money Market Report

On Monday, 18 May, the European Central Bank (ECB) announced its weekly main refinancing operation (MRO).

The auction was conducted on Tuesday, 19 May, and attracted bids from euro area eligible counterparties of €88.40 billion, €2.22 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, 20 May, the ECB conducted aseven-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 0.63% 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 91- day bills maturing on 21 August. Bids of €30 million were submitted, with the Treasury accepting €3.00 million. Since nobills matured during the week, the outstanding balance of Treasury billsincreased by €3 million, to stand at €194.55 million.

The yield from the 91-day bill auction was -0.001%, down by 0.1 basis pointfrom the bids with a similar tenor issued on May 15, 2015, representing a bid price of 100.0003 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 181-day bills maturing on 28 August, and November 26, respectively.