ECB monetary operations
On July 8, the European Central Bank announced the seven-day main refinancing operations (MRO). The operation was conducted on July 9 and attracted bids from euro area eligible counterparties of €5,334 million, €1,370 million less than the previous week. The amount was allotted in full at a fixed rate equivalent to the prevailing MRO rate of 4.25%, in accordance with current ECB policy.
On July 10, 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 $156.70 million, which were allotted in full at a fixed rate of 5.58%.
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 July 11, maturing on October 10 and January 9, 2025, respectively.
Bids of €92.29 million were submitted for the 91-day bills, with the Treasury accepting €15.10 million, while bids of €61.34 million were submitted for the 182-day bills, with the Treasury accepting €2.98 million. Since €26.78 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €8.70 million, standing at €572.56 million.
The yield from the 91-day bill auction was 3.521%, decreasing by 3.30 basis points from bids with a similar tenor issued on July 4, representing a bid price of €99.1178 per €100 nominal. The yield from the 182-day bill auction was 3.352%, decreasing by 19.90 basis points from bids with a similar tenor also issued on July 4, representing a bid price of €98.3336 per €100 nominal.
During this week, there was no trading on the Malta Stock Exchange.
Today, July 16, the Treasury will invite tenders for 91-day and 182-day bills maturing on October 17 and January 16, 2025, respectively.
The report is prepared by the Monetary Operations and Collateral Management Office of the Central Bank of Malta.