Modest buying interest pushes yield curve slightly lower

By First Capital Research

At the start of the week, the secondary market saw modest buying interest, accompanied by low volumes and activity, pushing the yield curve slightly lower.

For the 2029 tenure, the 15.06.2029 and 15.09.2029 maturities traded in the range of 9.82 percent to 9.90 percent. Further along the curve, the 01.03.2030 maturity traded at 9.95 percent, while the 01.06.2033 and 01.11.2033 maturities ranged between 11.00 percent and 11.05 percent. 

Meanwhile, the PDMO announced a bond auction yesterday, which is scheduled for April 9, 2026, aiming to raise Rs.100.0 billion across three maturities.

On the external front, the Sri Lankan rupee depreciated against the US dollar, closing at Rs.315.38/US dollar, compared to Rs.315.21/US dollar recorded previously. 

Liquidity in the banking system contracted to Rs.231.84 billion, from Rs.247.36 billion recorded previously.