ANALYSIS AND COMMENTS MARKET SUMMARY
FINANCIAL MARKET SUMMARY
Selected Financial Instruments
Sep Qtr 2007
Dec Qtr 2007
Dec Qtr 2007
Dec Qtr 2007
|Selected Financial Instruments |
|Currency and deposits |
|Short term debt securities |
|Long term debt securities |
|Loans and placements |
|Listed shares |
|Unlisted shares |
|Reserves of life offices and pension funds |
|General insurance prepayments and reserves |
Deposit liabilities decreased to $1,200.1b at the end of December 2007, following transactions of -$31.6b during the quarter. Banks accepted $28.1b (down $8.6b on that accepted last quarter), there were withdrawals of net $8.7b of deposits accepted by other depository corporations, and domestic sectors withdrew a net $18.6b from the rest of the world. Central bank deposit transactions were -$32.4b during the quarter, mainly driven by the withdrawal of $41.1b by the national general government.
Short term security liabilities increased to $632.3b at the end of December 2007. There were net issues of $39.8b, comprising $5.4b in issues of bills of exchange and $34.4b in one name paper. Total long term debt security liabilities decreased to $955.6b, following net redemptions of $8.1b in domestic markets. Banks issued bonds worth net $14.6b, of which $5.0b was issued domestically and $9.5b offshore. Financial intermediaries n.e.c. redeemed $14.9b, of which $8.4b was in the domestic market and $6.5b offshore. Private non-financial corporations redeemed $4.0b and the rest of world redeemed $4.2b.
The value of derivative contracts on issue decreased by $43.4b to $217.9b. Components of the decrease were net settlements of $61.2b and valuation increases of $17.8b.
Loan liabilities rose to $2,734.4b at the end of December 2007, following transactions of $64.1b during the quarter. Households borrowed $31.2b, banks $19.3b and private non-financial corporations $17.4b. The net repayments by financial intermediaries n.e.c in the quarter amounted to $7.5b.
The listed share market decreased by $27.9b to $1,628.8b at the end of December 2007, with valuation decreases of $28.6b and issues of $0.7b. Banks issued $5.0b and financial Intermediaries n.e.c. $3.0b. Private non-financial corporations redeemed $7.5b. The value of the unlisted share market decreased by $33.4b to $1,152.7b at the end of December 2007, with issues of $17.1b and valuation decreases of $50.5b. Rest of world issued $9.1b and private non-financial corporations issued $4.9b during the quarter.
At the end of December 2007, the reserves of life offices and pension funds were $1,201.2b following transactions during the quarter of $12.0b and valuation decrease of $16.0b. General insurance prepayments and reserves were $67.3b.