Lingering uncertainty weighs down on market sentiment

By First Capital Research

The secondary market yesterday remained shrouded in uncertainty as investors awaited further clarity on prevailing global headwinds and their spillover effects on the Sri Lankan economy.

Consequently, yields underwent a modest upward adjustment while trading volumes appeared moderate. 

At the short end of the curve 15.02.2028, 15.03.2028, 01.05.2028 and 01.07.2028 traded at 11.95%. Further ahead on the yield curve, 01.08.2030 traded at 12.30% while 15.06.2034 changed hands at 13.15%. Finally, 15.03.2035 and 15.06.2035 were seen trading at 13.25% and 13.30% respectively. 

On the external front, the LKR depreciated against the USD, standing at Rs. 334.61/USD, compared to Rs, 332.16/USD seen earlier. Liquidity in the banking system expanded to Rs. 121.94Bn from LKR 111.71Bn recorded previously.