Secondary market extends its quiet streak

By First Capital Research

Secondary market withstood yet another muted day of trading yesterday as investors remained on the sidelines, having adopted a wait-and-see approach ahead of the monetary policy decision set to be announced today. Consequently, trading volumes were limited and the yield curve held firm. 

Amongst the few trades that took place, the noteworthy ones were even fewer. At the short end of the curve, 15.10.2028 was seen changing hands at 9.00%. 

Further ahead on the yield curve, the 15.10.2029 maturity traded at 9.45%. Given the dormant nature of yesterday’s session, the significant trades were scarce and limited to the above. 

In the forex market, the LKR depreciated against the greenback, closing at Rs. 301.8/USD, compared to the previously seen rate of Rs. 301.6/USD. 

Meanwhile, overnight liquidity in the banking system contracted to Rs. 98.4bn from the previously seen level of Rs. 103.9bn.