Secondary Bond market consolidates; activity subdued

Tuesday, 15 July 2025 01:12 - - {{hitsCtrl.values.hits}}

By Wealth Trust Securities

The Secondary Bond market kicked off the week on a quiet note, with yields holding broadly steady as activity remained range-bound. Most market participants stayed on the sidelines, keeping the market in a consolidation phase amid the absence of strong directional cues.

Accordingly, limited trades were seen on selected maturities. The 01.02.26, 01.05.27, 15.03.28, 01.05.28 and 15.12.28 maturities were seen trading at the rates of 7.90%, 8.35-8.45%, 8.76% and 8.99% respectively.

The total secondary market Treasury Bond/Bill transacted volume for 11 July was Rs. 43.32 billion.

In money markets, the weighted average rates on overnight call money and Repo stood at 7.75% and 7.76% respectively.

The net liquidity surplus was recorded at Rs. 109.03 billion yesterday. An amount of Rs. 5.15 billion was withdrawn from the Central Bank’s SLFR (Standing Lending Facility Rate) of 8.25%, while an amount of Rs. 114.19 billion was deposited at Central Bank’s SDFR (Standard Deposit Facility Rate) of 7.25%.

Forex Market

In the Forex market, the USD/LKR rate on spot contracts closed the day at Rs. 300.97/301.00 as against 300.70/301.00 the previous day.

The total USD/LKR traded volume for 11 July was $ 68.10 million.

(References: Central Bank of Sri Lanka, Bloomberg E-Bond trading platform, Money broking companies)