Secondary bond market yields increase

By Wealth Trust Securities

The secondary bond market yields increased yesterday, with the 2022’s (i.e. 01.10.22 and 15.12.22), 01.10.23, 2024’s (i.e. 15.09.24 and 01.12.24) and 01.02.26 maturities hitting highs of 5.43%, 5.45%, 5.85%, 6.37%, 6.47% and 6.80% respectively, when compared with the previous day’s closing level of 5.35/40, 5.40/43, 5.75/80, 6.30/35, 6.37/40 and 6.70/80. Furthermore, limited activity was also witnessed of the 01.08.26 maturity at levels of 6.83% to 6.84%. In the secondary bill market, 23 April maturity changed hands at 4.65%.

The total secondary market Treasury bond/bill transacted volumes for 2 February was Rs. 8.05 billion.  

In the money market, weighted average rates on overnight call money and repos remained steady at 4.55% and 4.57% respectively with the net surplus liquidity standing at Rs. 113.04 billion. 

Rupee appreciates  

In the Forex market, the USD/LKR rate on spot contracts was seen appreciating marginally to close the day at Rs. 193.00/194.00 against its previous day’s closing level of Rs. 194.50/196.00, subsequent to trading within a range of Rs. 193.60 to Rs. 195.00.

The total USD/LKR traded volume for 2 February was $ 104.50 million.  

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