Week begins with lower yields in secondary market

By First Capital Research

As the week started, the secondary market depicted limited activity amidst moderate volumes. 

Trades mostly clustered towards the mid-end of the curve; however, some activity was observed towards the long end. Notably, yields drifted lower during the session. 

Among the traded maturities, 15.03.2028 and 01.05.2028 were dealt at 9.10 percent and 9.15 percent. Over 2029 segment, 15.06.2029 was traded at 9.60 percent. Both 15.09.2029 and 15.10.2029 were traded at 9.65 percent, while 15.12.2029 changed hands at 9.67 percent. 

The 01.03.2030 maturity was traded at 9.75 percent. The 15.03.2031, 01.12.2031 and 01.06.2033 maturities changed hands at 10.10 percent, 10.20 percent and 10.73 percent, respectively. Moreover, over the long-end, 15.06.2035 was traded within the range of 11.15 percent to 11.10 percent. 

On the external front, the Sri Lankan rupee depreciated against the US dollar, closing at Rs.309.7/US dollar, compared to Rs.309.3/US dollar recorded the previous day. Overnight liquidity in the banking system expanded to Rs.196.08 billion, from Rs.160.19 billion recorded previously.