On November 5, the European Central Bank (ECB) announced its weekly main refinancing operation (MRO). The operation was conducted on November 6 and attracted bids from euro area eligible counterparties of €6.55 billion, €1.46 billion lower 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 0.00 per cent, in accordance with current ECB policy.
On November 7, 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 $0.05 billion, which was allotted in full at a fixed rate of 2.70 per cent.
Domestic Treasury bill market
In the domestic primary market for Treasury bills, the Treasury invited tenders for 28-day and 91-day bills for settlement value November 8, 2018, maturing on December 6, 2018 and February 7, 2019, respectively. Bids of €47 million were submitted for the 28-day bills, with the Treasury accepting €17 million, while bids of €50 million were submitted for the 91-day bills, with the Treasury accepting €19 million. Since €35 million worth of bills matured during the week, the outstanding balance of Treasury bills increased by €1 million, to stand at €307 million.
The yield from the 28-day bill auction was -0.355 per cent, unchanged from bids with a similar tenor also issued on November 1, representing a bid price of €100.0276 per €100 nominal. Similarly, the yield from the 91-day bill auction was -0.355 per cent, also unchanged from bids with a similar tenor issued on October 18, representing a bid price of €100.0898 per €100 nominal.
During the week under review, there was no trading on the Malta Stock Exchange.
Today the Treasury will invite tenders for 27-day and 272-day bills maturing on December 12, 2018 and August 14, 2019, respectively.