Steady yields amid mixed activity

By First Capital Research 

The secondary market continued to exhibit mixed sentiment yesterday with moderate trading activity, while the overall yield curve remained largely stable.

At the short end, a cluster of 2028 maturities, including 15.01.2028 and 01.05.2028, traded within the 8.95% - 9.05% range. In the 2029 segment, the 15.06.2029 and 15.10.2029 maturities traded between 9.42% and 9.48%. 

Further along the curve, 01.07.2030 traded at 9.60%, and 01.12.2031 at 10.05%. At the longer end, 01.11.2033 traded at 10.45%, while 15.09.2034 traded around 10.55%.

On the external front, the LKR depreciated against the USD, closing at Rs. 307.9/USD compared to Rs. 306.4/USD seen previously. Overnight liquidity in the banking system expanded slightly to Rs. 87.79bn from Rs. 87.64bn recorded on the previous day.