FINEX WEEK

 

 

By SHABBIR H. KAZMI
Updated Oct 05, 2002

 

No major change in the market scenario was seen the past week, and due to the prevailing liquidity crunch banks had to approached SBP discount window to square them self. On account of which discounting ranging between Rs. 240 billion to Rs. 22.80 billion was reported throughout the week.

The past week no intervention was seen by Central bank which kept short term rates under pressure, funds in one and two weeks were available in the band of 8.75% and 7.75%, against the bids at 8.25% and 7.25%. One month remain unmoved and quoted in the band of 6.30% and 6.75% throughout the week. The most significance of the week was activity in long term as from the past few months banks preferred to cover their position in short term. Activity in three months were witnessed around 5.90% and deals in six months tenor was witnessed as low as 5.75%, this ease in rates were temporary later rates bounced back to higher side near the close of the week. This week SBP conducted its T-bill auction and heavy participation of around Rs. 55.00 billion was reported against the target amount of Rs. 4.00 billion. Central Bank rejected all the bids in the designated papers. After the T-bill auction aggressive buying was witnessed, but no major trades were witnessed due to the unavailability of offers, but aggressive trading in PIBs were witnessed and deals in three, five and ten year PIBs were struck as low as 7.00%, 7.85% and 8.85%.

YIELD PROFILE

FEDERAL INVESTMENT BONDS

.

THIS WEEK

1 WEEK AGO

1 YEAR AGO

1 Year

06.40

06.50

11.00%

2 Year

06.75

06.75

11.50%

3 Year

07.00

07.10

12.00%

4 Year

07.50

08.00

12.00%

5 Year

08.80

08.10

12.75%

10 Year

09.85

09.20

13.50%

 


 

AUCTIONS

BID DATE

INSTRUMENT

RESULT

SETTLEMENT

Oct 02 T-BILL Oct 02 Oct 03

TARGET AMOUNT

BID AMOUNT

ACCEPTED AMOUNT

Rs.4,000 Mln 

Rs.55,690 Mln

 Nil

 


 

MATURITIES

INSTRUMENT

DATE

AMOUNT

T-Bill

03 Oct

4,100 Mln.

T-Bill

17 Oct

6,950 Mln.

T-Bill

31 Oct

29,900 Mln.

 


 

REPO RATES

 

THIS WEEK

1 WEEK AGO

1 YEAR AGO

Overnight

08.90

08.90

11.90

1 Week

08.50

08.25

10.00

1 Month

06.65

06.50

09.55

3 Month

06.00

05.60

09.80

6 Month

06.00

05.80

10.15

1 Year

06.35

06.25

10.55

 


 

TREASURY BILL RATES
MATURING THIS WEEK 1 WEEK AGO 1 YEAR AGO

1 Month

07.00

06.80

10.55

2 Month

06.20

06.10

09.80

3 Month

06.10

05.85

09.90

4 Month

06.10

05.75

10.00

5 Month

06.10

05.80

10.15