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Thursday Dec 12, 2024
Thursday, 17 October 2019 02:12 - - {{hitsCtrl.values.hits}}
By Wealth Trust Securities
The weighted average yields at yesterday’s Treasury bill auction decreased across the board with the total offered amount of Rs. 22 billion being successfully subscribed with the combination of all three maturities. 
The market favourite 364-day maturity dominated the auction as an amount of Rs. 15.93 billion was accepted on it against its offered amount of Rs. 12.5 billion with its weighted average decreasing for the first time in seven weeks by 06 basis points to 8.35%.
The weighted average yield of the 182 day bill decreased for the first time in three weeks by 04 basis points to 7.69% while the 91 day bill weighted average decreased further by 02 basis points to 7.58%. Bids to offer ratio increased to 2.59:1.
The secondary bond market remained active yesterday as continued buying interest mainly on the liquid maturities of 01.10.22, two 2023s (i.e. 15.07.23 and 15.12.23) and three 2024s (i.e. 15.03.24, 15.06.24 and 15.09.24) saw its yields dip to intraday lows of 9.15%, 9.60%, 9.66%, 9.94%, 9.95% and 9.97% respectively against its previous day’s closing levels of 9.10/20, 9.62/65, 9.65/70, 9.97/00, 9.98/02 and 10.00/02. 
In addition, the maturities of 15.12.21, 15.05.23, 15.06.27 and 15.09.34 changed hands at levels of 8.64% to 8.65%, 9.575% to 9.60%, 10.28% and 10.68% respectively as well. In the secondary bill market, January 2020 maturities traded at level 7.55% to 7.60%.
The total secondary market Treasury bond/bill transacted volume for 14 October was Rs. 9.94 billion.
Meanwhile in money markets, the overnight call money and repo rates averaged 7.51% and 7.56% respectively as the overnight net liquidity surplus in the system increased further to Rs.6.90 billion yesterday.
The Open Market Operations (OMO) Department of Central Bank was seen injecting an amount of Rs.12 billion by way of an overnight Reverse repo auction at a weighted average rate of 7.60%.
Rupee closes mostly unchanged
In the Forex market, the rupee on its spot contracts were seen closing the day mostly unchanged at Rs.181.85/95 yesterday, subsequent to trading within the range of Rs.181.82 to Rs.181.92.
The total USD/LKR traded volume for 16 October was $ 49.98 million.
Given are some forward USD/LKR rates that prevailed in the market: one month – 182.45/65; three months – 183.70/00; six months – 185.35/75.
