CAPITAL MARKETS

 

1- FOREX KERB WATCH

2- COT WEEKLY REVIEW

3- FINEX WEEK

4. STOCK WATCH
5. STOCK MARKET AT A GLANCE
6. PAKISTAN WEEKLY REVIEW

 

FINEX WEEK


By SHABBIR H. KAZMI
Updated July 09, 2005

 

 

The inter‑bank market witnessed major overnight activity in the band of 7.50% to 8.50% throughout the week. Due to the inflow of Rs.18.00 billion, SBP conducted OMO for three days and mopped total amount of Rs18.00 billion. However, this did not affect the market and activity remained at the same levels. One and two week's rates saw no major movement and were confined in the band of 7.25% and 8.25%. One month was active during the week and early trades in the respective tenor were evident around 7.25%. Later due to the borrowing pressure, funds changed hands around 7.70%.

This week market witnessed heavy trading in three months where deals in the respective tenor were struck in the band of 7.60% to 7.70% respectively. This week Central Bank conducted T‑bill auction with the pre‑auction target of Rs.125 billion against heavy maturity of approximately Rs.144 billion. As expected heavy participation of Rs.143 billion was reported. SBP accepted total amount of Rs.125 billion. Moreover, contrary to expectations, SBP increased the cut‑off yields for three and twelve months with around 18 and 24 basis points and maintained the cut‑off yield for six months. The Central Bank accepted Rs.36.25 billion in three months at 7.6946%, Rs.34.67 billion in six month at 7.9869% and in one year accepted Rs.54.27 billion at 8.6959%.

FUTURE OUTLOOK

With no major inflow in the coming week, the market is expected to remain at the higher side.

YIELD PROFILE

FEDERAL INVESTMENT BONDS

.

THIS WEEK

1 WEEK AGO

1 YEAR AGO

1 Year

08.50

08.30

03.30

2 Year

08.50

08.30

04.50

3 Year

08.60

08.30

05.10

4 Year

08.60

08.35

06.10

5 Year

08.80

08.50

06.40

10 Year

09.00

08.90

07.79

 

 

 
 


 


 

AUCTIONS

BID DATE

INSTRUMENT

RESULT

SETTLEMENT

Jul 06 T-Bill 03 Mth. Jul 06 Jul 07
Jul 06 T-Bill 06 Mth. Jul 06 Jul 07
Jul 06 T-Bill 12 Mth. Jul 06 Jul 07

TARGET AMOUNT

BID AMOUNT

ACCEPTED AMOUNT

Rs.120,000 Mln

Rs. 143,050 Mln 

Rs. 125,175 Mln

 


 

MATURITIES

INSTRUMENT

DATE

AMOUNT

T-Bill

07 July

126,296 mln

FIB/PIB

13 July

01,457 mln.

FIB/PIB

20 July

01,558 mln.

 


 

REPO RATES

 

THIS WEEK

1 WEEK AGO

1 YEAR AGO

Overnight

05.75

08.00

00.15

1 Week

06.00

07.75

00.35

1 Month

07.15

07.35

01.20

3 Month

07.50

07.55

01.65

6 Month

07.85

07.85

02.05

1 Year

08.35

08.20

02.65

 

 

 


 

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

1 Month

07.30

07.50

01.30

2 Month

07.40

07.45

01.65

3 Month

07.55

07.45

01.75

4 Month

07.70

07.70

01.85

5 Month

07.85

07.85

02.10