Money Market Report

Money market report by Khadim Ali Shah Bukhari & Co on Wednesday (May 11, 2005).
DAILY MONEY MARKET COMMENTS: Today morning the money market rates were indicated between the bids and offer range of 8.75% - 8.90%. As the day progressed, the gap between bids and offers narrowed down and first Repo deal was witnessed at the level of 8.90%. Most of the overnight Repo deals were done at the top levels throughout the day. However in clean & call placements the overnight interest rates were 9.50% - 10.50%. At the end of the day the interbank market closed at 8.90% and a discounting of Rs 1.8 billion was reported. SBP conducted auction for the sale of 3 and 12 months treasury bills and accepted Rs 83 billion in 3 months @ 7.3798% & Rs 3 billion in 12 months @ 8.2477% against the total participation of Rs 90.50 billion. SBP increased the cutoff yields by 98.65 & 100 basis points in 3 & 12 months respectively.

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Repo Rates (Yield p a)

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Tenor      Low Bid   High Bid   Low Offer   High Offer    Average

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Overnight   8.75      8.90        8.90        8.95           8.88

1-Week      6.50      6.75        7.00        7.25           6.88

2-Week      6.75      7.00        7.25        7.50           7.13

1-Month     6.25      6.50        6.75        7.00           6.63

2-Months    6.50      6.75        7.00        7.25           6.88

3-Months    7.00      7.35        7.50        7.75           7.40

4-Months    7.10      7.40        7.60        7.85           7.49

5-Months    7.25      7.50        7.75        8.00           7.63

6-Months    7.50      7.75        8.00        8.25           7.88

9-Months    7.75      8.00        8.25        8.50           8.13

1-Year      8.00      8.25        8.50        8.75           8.38

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Call Rates (Yield p a)

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Overnight   9.00       9.25       9.50       10.00           9.44

1-Week      6.75       7.00       7.25        7.50           7.13

2-Week      7.00       7.25       7.50        7.75           7.38

1-Month     6.75       7.00       7.50        7.75           7.25

2-Months    6.75       7.00       7.25        7.85           7.21

3-Months    7.00       7.50       7.75        8.00           7.56

4-Months    7.50       7.75       8.00        8.25           7.88

5-Months    7.50       7.75       8.00        8.25           7.88

6-Months    7.75       8.00       8.25        8.50           8.13

9-Months    8.00       8.25       8.50        9.00           8.44

1-Year      8.50       8.75       9.00        9.50           8.94

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PIB Secondary Market Data

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Maturity         Yield      Range

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0.1-0.5  Years    7.45       7.65

0.6-1.0  Years    7.90       8.65

1.1-1.5  Years    8.25       8.40

1.6-2.0  Years    8.60       8.75

2.1-2.5  Years    8.65       8.80

2.6-3.0  Years    9.00       9.10

3.1-3.5  Years    8.95       9.15

3.6-4.0  Years    9.00       9.25

4.1-4.5  Years    9.20       9.40

4.6-5.0  Years    9.35       9.50

5.6-6.0  Years    9.85      10.05

6.1-6.5  Years    9.95      10.10

6.6-7.0  Years   10.10      10.20

7.1-7.5  Years   10.15      10.25

7.6-8.0  Years   10.20      10.35

8.1-8.5  Years   10.30      10.45

8.6-9.0  Years   10.35      10.60

15       Years   11.25      11.50

20       Years   12.25      12.50

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FIB Secondary Market Data

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Maturity       Yield        Range

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0.1-0.5 Years   7.55         7.75

0.6-1.0 Years   8.00         8.75

1.1-1.5 Years   8.35         8.50

1.6-2.0 Years   8.70         8.85

2.1-2.5 Years   8.75         8.90

2.6-3.0 Years   9.10         9.20

3.1-3.5 Years   9.05         9.25

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Clean Deposit Market

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Tenor          Range      (% p a)

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01 Months       9.00        10.00

03 Months       9.00         9.50

06 Months       9.50        10.50

12 Months      10.00        11.00

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T-Bill Secondary Market Data

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3 Months, 6 Months &

12 Months Instruments

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Days to Maturity    Yield Range %

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0-7 Days                8.00-8.25

8-15 Days               7.00-7.30

16-30 Days              6.75-7.00

31-60 Days              6.80-7.00

61-90 Days              7.20-7.40

91-120 Days             7.30-7.50

121-180 Days            7.25-7.50

181-270 Days            7.60-7.75

271-365 Days            8.25-8.50

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Kerb Market FX Rate

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Currency        Bid         Offer

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USD            60.10        60.15

EUR            77.50        77.60

GBP           113.50       113.75

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