ECB monetary operations

On August 9, the European Central Bank announced the seven-day main refinancing operation (MRO). The operation was conducted on August 10 and attracted bids from euro area eligible counterparties of €180 million, €35 million more than the previous week. The amount was allotted in full at a fixed rate equivalent to the prevailing MRO rate of zero per cent, in accordance with current ECB policy.

On August 11, the ECB conducted the seven-day US dollar funding operation through collateralised lending in conjunction with the US Federal Reserve. This operation attracted bids of $203.00 million, which was allotted in full at a fixed rate of 0.35 per cent.

Domestic Treasury bill market

In the domestic primary market for Treasury bills, the Treasury invited tenders for 91-day bills and 181-day bills for settlement value August 12, maturing on November 11, 2021 and February 9, 2022, respectively. Bids of €15 million and €17 million were submitted for the 91-day bills and 181-day bills, respectively, with the Treasury accepting all submitted bids. Since €40 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €8 million, standing at €752.25 million. The yield from the 91-day bill auction was -0.401 per cent, increasing by 0.6 basis point from bids with a similar tenor issued on August 5, representing a bid price of €100.1015 per €100 nominal. The yield from the 181-day bill auction was -0.402 per cent, increasing by 1.0 basis point from bids with a similar tenor issued on July 29, representing a bid price of €100.2025 per €100 nominal.

During this week, there was no trading on the Malta Stock Exchange. Today, the Treasury will invite tenders for 91-day and 182-day bills maturing on November 18, 2021 and February 17, 2022, respectively.