Thin trading leaves yield curve on a standstill

By First Capital Research

Trading in the secondary market started the week with subdued activity, leaving the yield curve largely unchanged. 

Notable trades included the 15.02.2028 and 15.03.2028 maturities trading at the rate of 8.75%, while the 01.05.2028 and 15.06.2029 maturities exchanged hands at the rates of 8.80% and 9.35%, respectively.

The CBSL has scheduled an LKR 200.0Bn worth bond auction on July 11, 2025, offering three maturities, namely LKR 75.0Bn maturing on 15.09.2029, LKR 75.0Bn maturing on 01.06.2033 and LKR 50.0Bn maturing on 15.09.2034, respectively.

In the forex market, the LKR depreciated marginally against the greenback, closing at LKR 300.2/USD, compared to the previously seen rate of 300.0/USD. Meanwhile, overnight liquidity in the banking system contracted to LKR 88.6Bn, from the previously seen level of LKR 96.5Bn.