Mixed sentiment persists as the yield curve holds steady

By First Capital Research

The secondary market yield curve saw a mixed trading session yesterday, characterized by low volumes and subdued activity. 

Among the trades executed, the 15.01.2028, 15.03.2028, and 15.10.2028 maturities were traded at the rates of 9.02%, 9.03%, and 9.08%, respectively. 

The 15.09.2029 and 15.10.2029 maturities traded at 9.50%, while the 15.05.2030 and 15.07.2030 maturities changed hands at 9.60%. Further along the curve, the 15.03.2031, 15.12.2032, and 15.06.2035 maturities traded at yields of 9.95%, 10.25%, and 10.65%, respectively. 

On the external front, the LKR slightly depreciated against the USD, closing at Rs. 308.47/USD compared to Rs. 307.79/USD seen previously. Furthermore, the LKR has depreciated 5.4% year-to-date. Overnight liquidity in the banking system expanded to Rs. 102.60bn from Rs. 95.62bn recorded on the previous day.