364 day bill weighted average yield edges up

Thursday, 12 December 2019 02:09 - - {{hitsCtrl.values.hits}}

Bond market activity moderates ahead of upcoming bond auction
Rupee appreciates

By Wealth Trust Securities

The market favourite 364 day bill weighted average yield increased at yesterday’s weekly auction reversing a dip witnessed the previous week. The 364 day maturity recorded an increase of 01 basis point to 8.23% with the weighted average yield of the 182 day maturity increasing by 05 basis points to 7.65%. However, the yield of the 91 day bill remained unchanged at 7.45%.

The total offered amount of Rs. 27 billion was successfully accepted at the auction as the bid to offer ratio stood at 1.96:1.

In the secondary bill market, March and September to November maturities were seen trading at levels between 7.42% to 7.50% and 8.15% to 8.31% respectively while in the bond market moderate activity was witnessed consisting of the 15.3.2023, 15.06.2024, 15.09.2024 and 15.03.2025 maturities at levels of 9.40%, 9.80% to 9.84% and 10.08% to 10.15% respectively. The long tenure maturity of 15.09.2034 traded at 10.30%. Today’s bond auction will have on offer a total amount of Rs. 25 billion, consisting of Rs. 15 billion of the 4year and 9 month maturity 15.09.2024 and Rs. 10 billion of the 10year and 5month maturity 15.05.2030.

The total secondary market Treasury bond transacted volume for 9 December was Rs. 8.59 billion.

In money markets, the Open Market Operations (OMO) Department of the Central Bank conducted an overnight Reverse Repo auction and injected Rs. 8.70 billion at a weighted average rate of 7.53% with the overnight net liquidity surplus in the system standing at Rs. 19.58 billion. The overnight call money and repo rates averaged 7.51% and 7.54% respectively.

Rupee appreciates

In the Forex market, the USD/LKR rate on spot contracts was seen appreciating yesterday to close the day at Rs. 181.10/15 against its previous day’s closing levels of Rs. 181.20/30, subsequent to trading at a high of Rs. 180.30 and a low of Rs. 181.05.

The total USD/LKR traded volume for 9 December was $ 38.80 million.

Some of the forward USD/LKR rates that prevailed in the market were 1 month - 181.50/70; 3 months - 182.40/60 and 6 months - 184.20/50.

Discover Kapruka, the leading online shopping platform in Sri Lanka, where you can conveniently send Gifts and Flowers to your loved ones for any event including Valentine ’s Day. Explore a wide range of popular Shopping Categories on Kapruka, including Toys, Groceries, Electronics, Birthday Cakes, Fruits, Chocolates, Flower Bouquets, Clothing, Watches, Lingerie, Gift Sets and Jewellery. Also if you’re interested in selling with Kapruka, Partner Central by Kapruka is the best solution to start with. Moreover, through Kapruka Global Shop, you can also enjoy the convenience of purchasing products from renowned platforms like Amazon and eBay and have them delivered to Sri Lanka.