ECB monetary operations
On January 8, the European Central Bank announced the seven-day main refinancing operations (MRO). The operation was conducted on January 9, and attracted bids from euro area eligible counterparties of €5,960 million, €1,414.50 million less than the previous week. The amount was allotted in full at a fixed rate equivalent to the prevailing MRO rate of 4.50%, in accordance with current ECB policy.
On January 10, 2024, 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 $216 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 January 11, maturing on April 11 and July 11, respectively.
Bids of €70.87 million were submitted for the 91-day bills, with the Treasury accepting €12.33 million, while bids of €11.48 million were submitted for the 182-day bills, with the Treasury accepting €9.70 million. Since €22.42 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €0.39 million, standing at €656.84 million.
The yield from the 91-day bill auction was 3.546%, decreasing by 5.10 basis points from bids with a similar tenor issued on January 4, representing a bid price of €99.1116 per €100 nominal. The yield from the 182-day bill auction was 3.467%, increasing by 1.80 basis points from bids with a similar tenor also issued on January 4, representing a bid price of €98.2774 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 April 18 and July 18, respectively.
The report is prepared by the Monetary Operations and Collateral Management Office of the Central Bank of Malta.