By Wealth Trust Securities

The secondary bond market remained active yesterday with the maturities of 2021’s (i.e. 01.03.21 and 15.12.21), 15.03.22, three 2023’s (i.e. 15.03.23, 15.07.23 & 15.12.23), 15.03.24, 01.08.26 and 15.01.27 changing hands within the range of 9.90% to 10.02%, 10.15%, 10.42% to 10.52%, 10.61% to 10.64%, 10.82% to 10.85% and 10.90% respectively.  In addition, the latest one year bill was seen changing hands within the range of 9.55% to 9.62% while on the very short end of the curve, the 15.09.19 maturity traded at 9.00% as well.

At today’s auction, a total amount of Rs. 22 billion will be on offer which will consist of Rs. 4.0 billion each on the 91 day and 182 day maturities and a further Rs. 14.0 billion on the 364 day maturity. At last week’s auction, the weighted averages decrease across the board by 05 basis points each and 10 basis points respectively to 8.89%, 9.09% and 9.81%. 

The total secondary market Treasury bond/bill transacted volumes for 6 May was Rs. 11.35 billion. In money markets, the overnight call money and repo rates averaged at 8.44% and 8.65% respectively as the OMO (Open Market Operations) Department of the Central Bank of Sri Lanka was seen draining out an amount of Rs. 47.6 billion on an overnight basis by way of a Repo auction at a weighted average of 8.41% yesterday. The net surplus liquidity increased to Rs. 82.75 billion.

Rupee appreciates     

The USD/LKR rate on spot contracts appreciated yesterday to close the day at levels of Rs. 176.85/00 against its previous day’s closing levels of Rs. 177.50/70 on the back of selling interest on forward contracts by banks.The total USD/LKR traded volume for 6 May was $ 21.12 million.Some of the forward USD/LKR rates that prevailed in the market were 1 month - 177.80/00; 3 months -             179.50/80 and 6 months - 182.30/60.

Rupee touches near 6-week low; stocks hit 6-1/2-year closing low