Primary bond auctions undersubscribed

• Secondary bond market remains muted

By Wealth Trust Securities

The three Treasury bond auctions conducted yesterday were undersubscribed at its 1st and 2nd phases as only an amount of Rs. 44.55 billion or 55.69% was accepted in total against a total offered amount of Rs. 80 billion. The three maturities of 15.11.2023, 15.01.2026 and 01.10.2032 recorded weighted averages of 6.50%, 7.25% and 8.44% respectively. 

The dull sentiment in the secondary bond market continued as only the maturities of 15.10.21, 2022’s (i.e. 01.10.22 and 15.12.22), 15.01.23, 15.01.26 and 01.08.26 changed hands at levels of 5.15% to 5.18%, 5.98% to 6.02%, 6.00%, 7.40% to 7.42% and 7.75% respectively.

The total secondary market Treasury bond/bill transacted volume for 28 April was Rs. 14.31 billion.   

In money markets, the weighted average rates on call money and repos was registered at 4.66% and 4.69% respectively with the overnight surplus liquidity stood at Rs. 150.22 billion.

USD/LKR 

In Forex markets, the USD/LKR on Spot contracts was traded at a level of Rs. 199.74 to Rs. 199.75.

The total USD/LKR traded volume for 28 April was $ 66.20 million.   

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