Money Market Report for the week ending 3 April
ECB Monetary Operations
On 30 March, the European Central Bank announced a seven-day Main Refinancing Operation. The operation was conducted on 31 March and attracted bids from euro area eligible counterparties of €0.44bn, €0.61bn less 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 31 March, the ECB conducted the Additional Longer-term Refinancing Operation maturing on 24 June, which attracted bids from euro area eligible counterparties of €43.71bn. This operation was carried out through a fixed rate tender procedure with full allotment, with an interest rate that is equal to the average deposit facility rate during the life of the operation.
On 1 April, the ECB conducted the 84-day US dollar funding operation through collateralised lending in conjunction with the US Federal Reserve. This operation attracted bids of $16.47bn, which was allotted in full at a fixed rate of 0.32%.
On a daily basis, the ECB conducted the seven-day US dollar funding operations through collater
Monthly Round up Report for March 2020
alised lending in conjunction with the US Federal Reserve. The five operations attracted bids of a total of $17.54bn, with the rate ranging between 0.32% and 0.33%.
Domestic Treasury Bill Market
In the domestic primary market for Treasury bills, the Treasury invited tenders for 91-day and 182-day bills for settlement value 2 April, maturing on 2 July and 1 October, respectively. Bids of €60m were submitted for the 91-day bills, with the Treasury accepting all bids, while bids of €60m were also submitted for the 182-day bills, with the Treasury accepting €40m. Since €26m worth of bills matured during the week, the outstanding balance of Treasury bills increased by €74m, to stand at €501m.
The yield from the 91-day bill auction was -0.363%, an increase of 3.2 basis points from bids with a similar tenor issued on 26 March, representing a bid price of €100.0918 per €100 nominal. The yield from the 182-day bill auction was -0.314%, an increase of 9.6 basis points from bids with a similar tenor issued on 18 March, representing a bid price of €100.1590 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 bills and 364-day bills maturing on 9 July and 8 April 2021, respectively.