Trading softens ahead of policy update

By First Capital Research 

The secondary market navigated a lackluster session yesterday, weighed down by thin volumes and mixed investor sentiment.

Market participants appear to have adopted a measured stance owing to the impending monetary policy decision set to be announced early today. 

Amongst the few noteworthy trades seen yesterday, 01.10.2032 was seen trading 10.40% while 15.12.2032 changed hands at 10.45%. Further ahead on the yield curve, 15.09.2034 traded at 10.80% and finally, 15.06.2035 traded at 10.85%.

On the external front, the LKR depreciated marginally against the USD, closing at Rs. 302.41/USD compared to Rs. 302.37/USD recorded the previous day. Overnight liquidity in the banking system contracted to Rs. 135.4bn from Rs. 140.8bn recorded the previous day.