CAPITAL MARKETS

 

1- FOREX KERB WATCH

2- COT WEEKLY REVIEW

3- FINEX WEEK

4. STOCK WATCH
5. STOCK MARKET AT A GLANCE


FINEX WEEK


By SHABBIR H. KAZMI
Updated Feb 18, 2005

 

 

The inter-bank money market opened with a liquid node and remained at the rock bottom levels throughout the week. With a total outflow of Rs102 billion against the inflow of Rs90 billion, no major movement in rates were noted. Major activity was confined up to two weeks where high volatility was noted. Earlier activity in the respective tenors was noted around 1.25% and 2.25% respectively. Later, due to the T-bill auction rates took hike and deals were struck around 2.75% and 3.25%, but finally one-week rates eased and activity was noted around 2.00%. One and three months rates were stagnant and saw no major activity. Six-month tenor saw some stray deals with bids and offers were available in the band of 5.15% to 5.30% respectively and deals were struck around 5.20%.

This week SBP conducted its T-bill auction of three and twelve months and received total amount of Rs104 billion against the target of Rs70 billion. As anticipated, major participation was in three-month. In three-month SBP accepted total amount of Rs62.925 billion at the cut off yield of 4.7441%, which is around 41 basis points higher then the previous cut-off. In one year, SBP raised the cut off by 50 basis points and accepted Rs100 million at 5.4891%. After the announcement of result demand for three-month T-bill was evident in the secondary market and buying interest was present at 4.50% against the offers at 4.30% but no trades were witnessed. In bond market upward trend was continued throughout the week and latest ten year bond was quoted in the band of 8.45% and 8.35%.

FUTURE OUTLOOK

As there is no significant change in the liquidity status rates up to one month are likely to remain at the lower side. In long-term market prevailing trend are likely to continue in the week to come.

YIELD PROFILE

FEDERAL INVESTMENT BONDS

.

THIS WEEK

1 WEEK AGO

1 YEAR AGO

1 Year

05.80

05.60

02.10

2 Year

06.35

06.00

02.90

3 Year

06.65

06.30

03.70

4 Year

07.30

07.10

04.35

5 Year

07.60

07.30

04.70

10 Year

08.40

08.10

06.27

 

 

 


 

AUCTIONS

BID DATE

INSTRUMENT

RESULT

SETTLEMENT

Feb 16 T-Bill 03 Mth. Feb 16 Feb 17
Feb 16 T-Bill 12 Mth. Feb 16 Feb 17

TARGET AMOUNT

BID AMOUNT

ACCEPTED AMOUNT

Rs. 70,000 Mln   

Rs. 105,300 Mln

Rs. 63,025 Mln

 


 

MATURITIES

INSTRUMENT

DATE

AMOUNT

FIB/PIB

16 Feb 

491 mln.

FIB/PIB

17 Feb 

89,900 mln.

 


 

REPO RATES

 

THIS WEEK

1 WEEK AGO

1 YEAR AGO

Overnight

01.00

00.40

03.25

1 Week

02.25

01.50

02.00

1 Month

03.95

03.75

01.60

3 Month

04.45

04.40

01.50

6 Month

05.25

04.80

01.60

1 Year

05.50

05.30

01.90

 


 

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

1 Month

04.25

04.10

01.75

2 Month

04.40

04.25

01.55

3 Month

04.50

04.35

01.45

4 Month

04.70

04.50

01.50

5 Month

05.80

04.60

01.60