Secondary market commences week on a quiet note

By First Capital Research

The secondary market saw subdued trading activity and low volumes, with the yield curve remaining broadly stable across the curve. 

Trading was mainly concentrated among primary dealers and participants from the banking sector. Among the actively traded maturities, the 01.08.2030 and 15.10.2030 maturities traded within the range of 11.30 percent to 11.45 percent.

Foreign investor interest was evident in the 2035 and 2036 maturities, with the 15.03.2035 bond trading in the range of 11.80 percent to 11.90 percent, whilst the 15.08.2036 bond traded between the range of 11.90 percent to 11.95 percent.

According to the Census and Statistics Department, the year-on-year (YoY) headline inflation, as measured by the CCPI, increased to 6.8 percent in June 2026, from 5.5 percent in May 2026. YoY food inflation accelerated to 3.6 percent in June 2026, from 0.9 percent in the previous month, while non-food inflation rose to 8.4 percent, from 7.8 percent in May 2026.

On the external front, the Sri Lankan rupee appreciated against the US dollar, standing at Rs.336.66/US dollar, compared to Rs.337.04/US dollar seen earlier. Liquidity in the banking system expanded to Rs.82.56 billion, from Rs.61.62 billion recorded previously.

Popular maturities traded during the day: 

01.08.2030: +7bps

15.10.2030:-3bps