ECB monetary operations
On September 20, the European Central Bank announced the seven-day main refinancing operation (MRO). The operation was conducted on September 21 and attracted bids from euro area eligible counterparties of €44 million, €300 million less 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 September 22, 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 $239.50 million, which was allotted in full at a fixed rate of 0.33 per cent.
On September 23, the ECB conducted the ninth operation of the TLTRO-III programme. This operation attracted bids of €97,568.26 million, with the rate fixed at the average rate of the MROs over the life of the operation. However, the final interest rate applied to this operation may differ and will be determined according to the TLTRO-III Decision.
Domestic Treasury bill market
In the domestic primary market for Treasury bills, the Treasury invited tenders for 91-day bills and 182-day bills for settlement value September 23, maturing on December 23, 2021 and March 24, 2022, respectively. Bids of €15 million were submitted for the 91-day bills, with the Treasury accepting all bids, while bids of €20 million were submitted for the 182-day bills, with the Treasury accepting €11.50 million. Since €53 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €26.50 million, standing at €742 million.
The yield from the 91-day bill auction was -0.394 per cent, unchanged from bids with a similar tenor issued on September 16, representing a bid price of €100.0997 per €100 nominal. The yield from the 182-day bill auction was -0.369 per cent, also unchanged from bids with a similar tenor issued on September 9, representing a bid price of €100.1869 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 181-day bills maturing on December 30, 2021, and March 30, 2022, respectively.