Bond market at a standstill

By Wealth Trust Securities

The new trading week commenced on a dull note as activity in the secondary bond market was at a standstill yesterday with a majority of market participants opting to be on the side-lines. A single transaction took place on the 15.01.27 maturity at a level of 11.40%.

The total secondary market Treasury bond/bill transacted volume for 22 October was Rs. 2.39 billion.   

In money markets, the net liquidity deficit stood at Rs. 142.68 billion yesterday as an amount of Rs. 91.62 billion was deposited at Central Banks Standard Deposit Facility Rate (SDFR) of 5.00% against an amount of Rs. 251.01 billion withdrawn from Central Banks Standard Deposit Facility Rate (SLFR) of 6.00%. 

In addition, the Domestic Operations Department (DOD) of the Central Bank of Sri Lanka was seen draining out amounts of Rs. 7.71 billion and Rs. 9.00 billion by way of overnight and seven day repo auctions respectively at weighted average rates of 5.98% and 5.99%. The weighted average rates on overnight Call money and REPO remained mostly unchanged at 5.90% and 5.94% respectively.

USD/LKR   

The Forex market remained inactive yesterday.

The total USD/LKR traded volume for 22 October was $ 54.00 million.   

(References: Central Bank of Sri Lanka, Bloomberg E-Bond trading platform, Money broking companies)