Secondary bond market activity moderates as yields steady

By Wealth Trust Securities

The secondary bond market witnessed moderate activity yesterday as yields were steady. Limited trades were seen on the 01.08.24, 15.05.26, 15.09.27 maturities at the levels of 14.00%, 13.03%, and 13.02% to 13.05% respectively.

The total secondary market Treasury bond/bill transacted volume for 16 August 2023 was Rs. 59.69 billion.

In money markets, the DOD (Domestic Operations Department) of Central Bank injected liquidity by way of overnight auction for a total volume of Rs. 52.40 billion at the weighted average rate of 11.54% while an amount of Rs.46.11 billion was withdrawn from Central Banks SLFR (Standard Lending Facility Rate) of 12.00%. The net liquidity deficit stood at Rs. 98.42 billion yesterday.

The weighted average rates on overnight call money and repo were registered at 11.57% and 11.90% respectively.

Forex Market 

In the Forex market, the USD/LKR on spot contracts edged up slightly to close the day at Rs.322.00/323.00 against its previous day’s closing level of Rs.321.50/322.00.

The total USD/LKR traded volume for 16 August was  $ 31.90 million.

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