SHORT-TERM RATES EXPECTED TO REMAIN STABLE NEXT WEEK

KUALA LUMPUR, Nov 4 (Bernama) -- Short-term rates are expected to remain stable next week with Bank Negara Malaysia likely to intervene by offering tenders to absorb surplus liquidity from the system. For the week just-ended, the overnight rate was quoted at 2.97 per cent, while the one-, two- and three-week rates stood at 3.02 per cent, 3.06 per cent and 3.11 per cent, respectively. The central bank intervened on a daily basis to mop up excess liquidity by conducting conventional money market tenders, Qard tenders, range-maturity auction money market tenders, Islamic range-maturity auction money market tenders and Commodity Murabahah Programmes. The total liquidity surplus in the conventional system for the week just-ended narrowed to RM25.7 billion from RM26.70 billion last week, while in the Islamic system, it increased to RM6.3 billion from RM5.51 billion previously. The benchmark three-month interbank rate stood at 3.43 per cent.  – BERNAMA