Home / Financial Services/ Secondary market bond yields increase marginally

Secondary market bond yields increase marginally


Comments / {{hitsCtrl.values.hits}} Views / Tuesday, 9 April 2019 00:12

Facebook

 

  • Central Bank keeps policy rates unchanged

 

By Wealth Trust Securities

The trading week opened yesterday on a sluggish note as activity moderated with most market participants staying on the side-lines due to the monitory policy announcement later in the day. Yields were seen increasing during the day, leading to the announcement and following it, mainly on the 01.08.21, 15.03.22, 15.05.23, 15.01.27, 15.06.27 and 01.05.29 maturities to intraday highs of 10.35%, 10.55%, 10.85%, 11.05%, 11.12% and 11.25%, respectively, against its previous trading day’s closing levels of 10.28/32, 10.45/50, 10.68/73, 11.00/05, 11.05/10 and 11.15/20. In addition, activity was witnessed on the 01.05.20, two 2021’s (i.e. 01.03.21 and 15.12.21), two 2023’s (i.e. 15.03.23 and 15.07.23) and 15.03.24 maturities at levels of 10.00%, 10.22%, 10.30%, 10.61% to 10.68%, 10.72% and 10.80%, respectively, as well.

Following the monitory policy announcement, at where the Central Bank was seen holding policy rates steady at 8% and 9% for a third consecutive announcement, two way quotes were seen widening and increasing in the market.  

The total secondary market Treasury bond/bill transacted volumes for 5 April was Rs. 13.21 billion. In money markets, the overnight call money and repo rates averaged 8.50% and 8.55%, respectively, as the Open Market Operations (OMO) Department of Central Bank injected amounts of Rs. 6.5 billion and Rs. 14 billion on an overnight and fourteen day basis at weighted averages of 8.52% and 8.55%, respectively. 

Rupee appreciates marginally 

The rupee on its spot contracts were seen appreciating marginally yesterday to close the day at Rs. 174.60/70 against its previous day’s closing levels of Rs. 174.80 on the back of selling interest by banks.

The total USD/LKR traded volume for 5 April was $ 102.75 million. 

Some of the forward USD/LKR rates that prevailed in the market were 1 month – 175.55/75; 3 months – 177.40/50 and 6 months – 180.15/45.

 

 


Share This Article

Facebook Twitter


DISCLAIMER:

1. All comments will be moderated by the Daily FT Web Editor.

2. Comments that are abusive, obscene, incendiary, defamatory or irrelevant will not be published.

3. We may remove hyperlinks within comments.

4. Kindly use a genuine email ID and provide your name.

5. Spamming the comments section under different user names may result in being blacklisted.

COMMENTS

Today's Columnists

Will power cuts solve electricity crisis?

Tuesday, 23 April 2019

The country faced electricity power cuts, reminding citizens of early 1990s, which resulted in private power producers supplying electrical power with long-term power supply agreements. Today, most have completed their agreement period, but some were


Easter attack: Going beyond condemnation

Tuesday, 23 April 2019

Yesterday was Easter Sunday; 227 persons [at the time of writing] have been killed, and many times more injured. The primary targets were churches and international hotels. It seems clear that the extremist group ISIS (Islamic State of Iraq and Syria


Easter Sunday nightmare

Tuesday, 23 April 2019

This is the most important day of the year for Christians – the Peaceful Easter Sunday or Easter Day was shattered by deadly explosions in several Christian churches throughout the country; and we excoriate such hatred in our beloved country. We th


Poignant pondering on a patriarch

Monday, 22 April 2019

Almost five months have gone. It is with a profound sense of sadness that we experienced the demise of our veteran teacher, respected author, legal luminary, an accomplished ambassador, an eminent public servant and an amazing human being, Dr. Wickre


Columnists More