On May 21, the European Central Bank announced its weekly main refinancing operation (MRO). The operation was conducted on May 22 and attracted bids from euro area eligible counterparties of €2.14 billion, €0.13 billion higher than the bid amount of 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 May 23, 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 $0.06 billion, which was allotted in full at a fixed rate of 2.21 per cent.
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 May 24, maturing on August 23 and November 22, respectively. Bids of €35 million were submitted for the 91-day bills, with the Treasury accepting €12 million. Similarly, bids of €35 million were submitted for the 182-day bills, with the Treasury accepting €3 million. Since €20 million worth of bills matured during the week, the outstanding balance of Treasury bills decreased by €5 million, to stand at €329 million.
The yield from the 91-day bill auction was -0.360 per cent, down by 0.2 basis point from bids with a similar tenor issued on May 17, representing a bid price of €100.0911 per €100 nominal. The yield from the 182-day bill auction was -0.357 per cent, unchanged from bids with a similar tenor also issued on May 17, representing a bid price of €100.1808 per €100 nominal.
During the week under review, there was no trading on the Malta Stock Exchange.
Today, the Treasury will invite tenders for 91-day and 182-day bills maturing on August 30 and November 29, respectively.