Mixed results at weekly Treasury bill auction

By Wealth Trust Securities

The weekly Treasury bill auction conducted yesterday witnessed mixed results as the weighted averages on the 91 day and 364 day maturities were seen increasing by five basis points each to 9.08% and 10.42% respectively while the weighted average on the 182 day decreased by two basis points to 10.05%. 

Interestingly, the accepted amount on the 182 day bill was 157.9% above its offered amount of Rs.13 billion while the overall accepted amount fell short of the total offered amount of Rs.28 billion by Rs.0.9 billion. 

In secondary bond markets, the liquid 01.05.21 maturity continued to change hands within a thin range of 12.78% to 12.80% on persistent foreign selling while 2018 maturities (i.e. 01.02.18, 01.04.18, 01.06.18 and 15.07.18) were seen trading at levels of 10.80%, 11.00%, 11.30% and 11.50% respectively, post auction.

Meanwhile in money markets, the overnight call money and repo rates increased marginally to average at 8.40% and 8.43% respectively as the net surplus liquidity dipped to Rs.36.63 billion yesterday. The Open Market Operations (OMO) department of Central Bank drained out an amount of Rs.43.00 billion on an overnight basis at a weighted average of 7.53%.

Rupee appreciates marginally 

 

The USD/LKR rate on the active two week forward contract appreciated marginally yesterday to close the day at Rs.150.90/05 while one month forward contracts were quoted at Rs.151.25/40.

The total USD/LKR traded volume for 31 January was $ 46.65 million.

Some of the forward USD/LKR rates that prevailed in the market were: three months – 152.90/25 and six months – 155.60/90.