FINEX WEEK

 

 

By SHABBIR H. KAZMI
Updated May 08, 2004

 

This was an unusually shorter week, because of the public holidays that were observed in the starting of the week. Overnight was highly volatile during the week and hovered in the band of 2.00% to 7.40%. Initially overnight funds changed hands at the lower side but gradual increase was noted and fnally at the end of the week touched high level of 7.40%, as the market was unable to square the short fall. As a result discounting of Rs.1.25 billion was reported. The one 

 

 

and two week also witnessed a rising trend. One week initially traded at 2.00%, but at closing deals were executed as high as 3.50%. The one month was the most active throughout the week with activity witnessed in the range of 1.60% to 1.70%. Three months had a slow movement with starting bids quoted at 1.80% against offers at 1.95%. But later on rates comparatively hiked and deals were evident at 1.90% and 2.00%. The longer tenor of six month saw no major activity and remained stagnant. This week the bond market was a bit slow and rates in the latest ten year bond was quoted in the vicinity of 6.44% and 6.47% and trades were evident around 6.46%. The main feature of the coming week is the three and twelve months T-Bill's auction. The anticipated target is of Rs. 65 billion, and the cut-off may have an upward movement of 4 to 6 basis points. The market is of the view that rates may ease in the coming week as maturity of Rs.65.30 billion is due.

YIELD PROFILE

FEDERAL INVESTMENT BONDS

.

THIS WEEK

1 WEEK AGO

1 YEAR AGO

1 Year

02.50

02.60

02.65%

2 Year

03.40

03.40

02.90%

3 Year

03.70

03.68

03.20%

4 Year

04.45

04.45

03.30%

5 Year

04.83

04.83

03.60%

10 Year

06.46

06.44

04.95%

 

 

 


 

AUCTIONS

BID DATE

INSTRUMENT

RESULT

SETTLEMENT

Apr 27 T-Bill 03 mth. Apr 27 Apr 29

TARGET AMOUNT

BID AMOUNT

ACCEPTED AMOUNT

Rs.5,000 Mln 

Rs.7,600 Mln 

Rs.1,000 Mln

 


 

MATURITIES

INSTRUMENT

DATE

AMOUNT

T-Bill

13 May

65,380 Mln.

 


 

REPO RATES

 

THIS WEEK

1 WEEK AGO

1 YEAR AGO

Overnight

00.25

05.00

05.50

1 Week

00.75

02.50

04.75

1 Month

01.35

02.00

02.60

3 Month

01.85

01.90

02.20

6 Month

01.90

02.00

02.20

1 Year

02.15

02.20

02.55

 

 

 


 

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

1 Month

01.45

02.00

03.00

2 Month

01.80

01.85

02.40

3 Month

01.80

01.80

02.20

4 Month

01.85

01.85

02.20

5 Month

01.90

01.90

02.10