Friday Jul 17, 2026
Friday Jul 17, 2026
Thursday, 16 July 2026 03:40 - - {{hitsCtrl.values.hits}}
By Wealth Trust Securities
At the weekly Treasury bill auction held yesterday, the weighted average yields dropped across the board for the first time in five weeks. Accordingly, the rate on the 91-day tenor declined by 8 basis points to 10.13%, the 182-day tenor dropped by 3 basis points to 10.27% and the 364-day tenor reduced by 1 basis point to 10.20%.
The auction successfully raised the full Rs. 120 billion offered at the first phase of competitive bidding. Maturity-wise, the accepted amounts exactly matched the offered amounts.
The Phase II subscription across all three maturities is now open until 3:00 p.m. of business day prior to settlement date (i.e. 16.07.2026) at the WAYRs determined for the said ISINs at the auction (see table for details).
The secondary Bond market yields edged marginally higher yesterday on the back of geopolitical tensions in the Middle East and the accompanying rise in global oil prices. Market sentiment was weighed by reports that the US launched a fresh wave of strikes against Iran, while reinstating its naval blockade near the Strait of Hormuz.
The 01.03.30, 01.07.30, 01.08.30 and 15.10.30 maturities traded at the rates of 11.33%, 11.50%, 11.50% and 11.59%-11.60%. The 01.11.33 and 15.10.34 maturities traded at the rates of 11.95% and 12.10% respectively. At the long end, the 01.07.37 maturity traded at the rate of 12.65%.
In the money market, the net liquidity surplus was recorded at Rs. 147.19 billion yesterday. An amount of Rs. 87.19 billion was deposited at the Central Bank’s SDFR (Standing Deposit Facility Rate) of 8.25%.
In addition, the Domestic Operations Department (DOD) of the Central Bank of Sri Lanka drained out an amount of Rs. 50 billion by way of an overnight repo auction at a weighted average rate of 8.66% as well as an amount of Rs. 10 billion by way of a 7-day term repo auction at the weighted average rate of 8.75%.
The weighted average rates on overnight call money and repos were recorded at 8.95% and 9.00% respectively.
Forex market
The USD/LKR rate on spot contracts was seen closing at the rate of Rs. 336.30/336.40 yesterday, unchanged against its previous day’s closings.
The total USD/LKR traded volume for 14 July amounted $ 87.35 million.
(References: Public Debt Management Office - Ministry of Finance, Central Bank of Sri Lanka, Bloomberg E-Bond Trading Platform, Money Broking Companies)
