The CBPP3 portfolio increased modestly again last week, by €249m, with gross purchases and redemptions both at their lowest level for several weeks. Gross aggregate Eurosystem purchases meanwhile registered their highest weekly increase since July.

According to data released by the European Central Bank relating to settled and outstanding purchases under its various programmes on Monday, the CBPP3 portfolio grew €249m in the week to last Friday – from €286.186bn to €286.435bn – €48m less than a €297m increase the previous week.

Although redemptions last week dropped to €700m – their lowest level in seven weeks – gross purchases were also lower, falling €384m from €1.297bn to €949m. This constitutes the lowest weekly gross purchases since the week ending 4 September.

Jörg Birkmeyer, analyst at DZ Bank, noted last week’s buying equates to around €190m per trading day.

“In the weeks before, the average purchase volume was over €250m and often also beyond the €300m mark,” he said.

This fall has in part been attributed to an absence of CBPP3-eligible supply settlements last week, versus €500m the previous week. This week €2.25bn of eligible supply is due to settle across three deals, from Bawag PSK, de Volksbank and OP Mortgage Bank.

“Last week’s new covered bond issues should help to boost the purchase volume in the current trading week,” said Birkmeyer.

Aggregate gross APP and PEPP purchases of €33.831bn last week were €132m higher than the €33.699bn of the previous week, and the highest since the week ending 10 July.

This was largely due to an increase in gross PEPP purchases, which, at €22.465bn, were the highest since the week ending 26 June. Net PEPP purchases, at €20.065bn, were €6.047bn higher than the €14.018bn of the previous week, and the highest since the week ending 26 June.

“The past few weeks had already seen gross purchases of up to €18bn,” noted ING analysts, “even as net volumes trailed.”