Low volumes persist as belly segment faces selling pressure

By First Capital Research

The secondary market yield curve saw mild selling pressure in the belly segment, leading to a slight uptick in yields amid low trading volumes.

Among the trades executed, the 15.02.2028 and 01.05.2028 maturities traded at 9.02 percent, while the 01.07.2028 maturity changed hands at 9.10 percent. 

The 15.09.2029 and 15.10.2029 maturities traded at 9.50 percent and 9.55 percent, respectively, while both the 15.05.2030 and 01.07.2030 maturities traded at 9.65 percent. 

Further along the curve, the 15.03.2031, 01.10.2032 and 15.12.2032 maturities traded at 9.90 percent, 10.30 percent and 10.35 percent, respectively, while the 01.11.2033 and 15.06.2035 maturities traded at 10.45 percent and 10.65 percent, respectively.

On the external front, the Sri Lankan rupee slightly depreciated against the US dollar, closing at Rs.309.72/US dollar, compared to Rs.309.65/US dollar seen previously. 

Overnight liquidity in the banking system contracted to Rs.65.9 million, from Rs.66.1 million recorded on the previous day.