Dull sentiment in the secondary bond market continues

By Wealth Trust Securities

The dull sentiment witnessed in the secondary bond market over the past few days, continued yesterday as well, with most market participants remaining on the sidelines. Limited trades were witnessed on the liquid 01.06.25 maturity at levels of 22.59% to 22.62%.

In secondary bills, July to August 2022 maturities changed hands at level of 19.99% to 22.10%.

The total secondary market Treasury bond/bill transacted volume for 25 May 2022 was Rs. 62.40 billion.  

In money markets, the net liquidity deficit stood at Rs. 524.70 billion yesterday as an amount of Rs. 195.94 billion was deposited at Central Banks SDFR (Standard Deposit Facility Rate) of 13.50% against an amount of Rs. 720.63 billion withdrawn from Central Banks SLFR (Standard Deposit Facility Rate) of 14.50%. The weighted average rates on overnight Call money and REPO stood at 14.50% each.

Forex market 

In the forex market, the middle rate for USD/LKR spot contracts depreciated to Rs. 359.7079 yesterday against its previous day’s Rs. 359.3764.

The total USD/LKR traded volume for 25 May 2022 was $ 26.80 million. 

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