Yields remain broadly unchanged on moderate trading

• Money market liquidity dips

By Wealth Trust Securities

The fresh trading week commenced with activity in the secondary bond market continuing at a moderate pace. 

Limited trades were witnessed on the liquid maturities of 2022s (i.e. 15.11.22 and 15.12.22), 01.08.24, 01.05.25 and 01.02.26 at levels of 5.55% to 5.58%, 6.20% to 6.29%, 6.35% to 6.38% and 6.57% to 6.58% respectively.

In the money market, overnight surplus liquidity decreased to Rs. 136.61 billion yesterday against Rs. 153.11 recorded on Friday. 

The DOD (Domestic Operations Department) of Central Bank injected an amount of Rs. 10 billion by way of a 14 day reverse repo auction at a weighted average rate of 4.55%, valued today. Overnight call money and repo remained steady to average 4.54% and 4.59% respectively.

Rupee depreciates marginally

The USD/LKR rate on spot contracts was seen depreciating marginally yesterday to close the day at Rs. 184.45/60 against its previous day’s closing of Rs. 184.20/30.

The total USD/LKR traded volume for 29 October was $ 69.00 million.   

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