Volumes surge as buying sentiment continues

 

The secondary market extended the previous day’s positive momentum into yesterday’s session, with trading activity remaining robust amid high volumes and strong participation from both local and foreign investors. 

 

Buying interest dominated the market, resulting in a broad-based softening of yields across the curve.

 

Yesterday’s trades were visible all throughout the curve, starting off with the 15.10.2027 bond at the short end, which changed hands at 10.50 percent. Within the 2028 segment, the 15.03.2028, 01.05.2028 and 01.09.2028 bonds traded from 10.60 percent to 10.65 percent. Moving along, the 15.10.2029 and 15.12.2029 maturities traded from 11.05 percent to 10.97 percent. 

 

At the belly end, the 2030 segment recorded some activity, with the 15.05.2030 bond trading at 11.15 percent, 01.08.2030 and 15.10.2030 maturities trading from 11.35 percent to 11.23 percent. 

 

Moving further along, the 01.10.2032 and 15.12.2032 bonds changed hands from 11.65 percent to 11.55 percent, followed by the 01.11.2033 maturity, which was seen trading at 11.65 percent. 

 

Nearing the end of the belly, the 15.03.2035 and 15.06.2035 bonds transacted from 11.75 percent to 11.70 percent and 11.80 percent, respectively. Lastly, approaching the long end of the curve, the 15.08.2036 maturity traded at 11.90 percent. 

 

On the external front, the Sri Lankan rupee depreciated against the US dollar, standing at Rs.336.29/US dollar, compared to Rs.336.17/US dollar seen earlier. Liquidity in the banking system contracted to Rs.81.20 billion from Rs.89.83 billion recorded previously.

 

Popular maturities traded during the day: 

15.10.2030: -10bps

15.03.2035: -7bps