Early selling gave way to buying as the day progressed

By First Capital Research

Yesterday, the secondary market witnessed some selling activity during the early hours of trading, but investors embraced a buying stance as the day progressed. 

Trading volumes and overall activity appeared moderate today. At the short end of the curve, 15.02.2028 traded at 9.00% while 01.07.2028 and 15.10.2028 were seen trading at 9.18% and 9.23% respectively. 

In the 2029 segment, 15.06.2029 traded within the 9.45%-9.50% range and 15.09.2029 was seen trading between 9.55% to 9.60%.

Moreover, 15.10.2029 traded at 9.60% and 15.12.2029 traded within the narrower range of 9.60% to 9.63%. Moving ahead, 15.03.2031 traded at 9.85% while 01.10.2032 changed hands at 10.20%. 

Further along the yield curve, 01.06.2033 was seen changing hands between 10.50% to 10.60%. Finally, 15.06.2034 traded at 10.65% while 15.06.2035 and 01.07.2037 traded higher at 10.74% and 10.88% respectively.  On the external front, the LKR appreciated against the USD, closing at Rs. 309.24/USD compared to Rs. 309.31/USD recorded the previous day. Overnight liquidity in the banking system contracted marginally to Rs. 332.49bn from Rs. 333.76bn recorded previously.