ECB monetary operations

On June 24, the European Central Bank announced the seven-day main refinancing operations. The operation was conducted on June 25 and attracted bids from euro area eligible counterparties of €11,078 million, €6,820 million more 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.

Also on June 25, the ECB conducted the three-month, longer-term refinancing operation to be settled as a fixed rate tender procedure with full allotment, with the rate fixed at the average MRO rate over the life of the operation.

The operation attracted bids of €5,876.50 million from euro area eligible counterparties.

On June 26, the ECB conducted an eight-day US dollar funding operation through collateralised lending in conjunction with the US Federal Reserve. This operation attracted bids of $211 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 183-day bills for settlement value June 27, maturing on September 26 and December 27, respectively.

Bids of €132.78 million were submitted for the 91-day bills, with the Treasury accepting €38.43 million, while bids of €33.25 million were submitted for the 183-day bills, with the Treasury accepting €18.25 million. Since €32.66 million worth of bills matured during the week, the outstanding balance of Treasury bills increased by €24.02 million, standing at €548.27 million.

The yield from the 91-day bill auction was 3.564%, decreasing by 1.20 basis points from bids with a similar tenor issued on June 20, representing a bid price of €99.1071 per €100 nominal.

The yield from the 183-day bill auction was 3.369%, increasing by 42.10 basis points from bids with a similar tenor also issued on June 20, representing a bid price of €98.3163 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 October 3 and January 2, 2025, respectively.

This article is prepared by the Monetary Operations and Collateral Management Office of the Central Bank of Malta.