Dull sentiment in secondary bond market continues

Tuesday, 24 October 2017 00:00 - - {{hitsCtrl.values.hits}}

By Wealth Trust Securities Ltd

The secondary bond market remained extremely dull yesterday, with only the 01.04.18 and 01.08.24 maturities changing hands at levels of 9.15% and 10.20% to 10.22% respectively on the back of ultrathin volumes.

In the secondary bill market, the 23 March 2018 maturity was traded at 8.98%.

The total secondary market Treasury bond/bill transacted volumes for 20 October was Rs.3.59 billion.

In money markets, the OMO department of Sri Lanka was seen draining out an amount of Rs.7.00 billion on an overnight basis by way of a repo auction at a weighted average of 7.25% as the net surplus liquidity in the system decreased to Rs.11.02 billion yesterday. The overnight call money and repo rates averaged 8.14% and 7.70% respectively.

Rupee dips marginally

In Forex markets, spot contracts were seen dipping marginally to close the day at Rs. 153.70/80 yesterday against its previous day’s closing of Rs. 153.65/73 on the back of renewed importer demand.

The total USD/LKR traded volume for 20 October was $ 32.90 million.

Given are some forward USD/LKR rates that prevailed in the market: one month – 154.60/70; three months – 156.25/35; six months – 158.70/80.