Dull momentum in bond market continues

By Wealth Trust Securities

The secondary bond market was at a complete standstill yesterday, with most market participants opting to be on the sidelines. A limited amount of activity was seen consisting of the 2021 maturities within the range of 9.95% to 10.00%.

The total secondary market Treasury bond/bill transacted volumes for 9 March was Rs.1.00 billion.

In money markets, the overnight call money and repo rates averaged at 8.14% and 7.60% respectively as the OMO (Open Market Operations) Department of the Central Bank of Sri Lanka drained out an amount of Rs.20.20 billion on an overnight basis by way of a Repo auction at a weighted average of 7.26%. The net surplus liquidity in the system increased to Rs.37.79 billion yesterday.

Rupee dips further   

The USD/LKR rate on spot contracts depreciated further yesterday to close the day at levels of Rs.155.60/65 against its previous day’s closing levels of Rs.155.45/55 on the back of continued importer demand. The total USD/LKR traded volume for 9 March was $ 50.25 million. Some of the forward USD/LKR rates that prevailed in the market were 1 Month - 156.50/60; 3 Months - 158.10/25 and 6 Months - 160.60/70.