On November 19, the European Central Bank (ECB) announced its weekly main refinancing operation (MRO). The operation was conducted on November 20 and attracted bids from euro area eligible counterparties of €6.35 billion, €0.38 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 zero per cent, in accordance with current ECB policy.
On November 21, the ECB conducted a six-day US dollar funding operation through collateralised lending in conjunction with the US Federal Reserve. This operation attracted bids of $0.07 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 22, maturing on December 20 and February 21, 2019, respectively. Bids of €46 million were submitted for the 28-day bills, with the Treasury accepting €14.30 million, while bids of €51 million were submitted for the 91-day bills, with the Treasury accepting €24.80 million. Since €36 million worth of bills matured during the week, the outstanding balance of Treasury bills increased by €3.10 million, to stand at €310.10 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 15, 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 November 8, 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 29-day bills maturing on December 28.