Secondary market yields steady ahead of weekly Treasury bill auction

Wednesday, 4 September 2013 00:00 - - {{hitsCtrl.values.hits}}

By Wealth Trust Securities Activity in secondary bond markets was rather moderate yesterday, with a limited amount of volumes changing hands on the liquid two five-year maturities, as it was seen closing the day at levels of 11.77/80 and 11.81/85 respectively ahead of today’s weekly Treasury bill auction. However, interestingly the yields on a three-and-a-half year maturity were seen spiking once again to levels of 11.60/65, reflecting a kink on the yield curve once again. A total amount of Rs. 9 billion will be on offer at today’s auction in comparison to its last week’s total amount of Rs. 10 billion with Rs. 1 b each on the 91-day and 182-day maturities respectively and Rs. 7 b on the 364-day maturity. At last week’s auction, weighted averages remained mostly unchanged on all three maturities at 8.61%, 9.64% and 10.56%. Meanwhile in secondary bill markets, duration centring the 364-day bill was seen been quoted at levels of 10.55/60, January durations at 9.95/00 and March durations at 10.15/25. The weighted average on the overnight repo auction conducted by the Open Market Operations (OMO) department of Central Bank continued to decrease to record 7.24% with Rs. 8 billion being mopped up yesterday as surplus liquidity in money markets remained high at Rs 22.56 b. A further amount of Rs 14.56 b was seen been deposited at CBSL’s Repo window of 7.00%. This intern helped overnight call money and repo rates to average 8.69% and 8.15% respectively.

Discover Kapruka, the leading online shopping platform in Sri Lanka, where you can conveniently send Gifts and Flowers to your loved ones for any event including Valentine ’s Day. Explore a wide range of popular Shopping Categories on Kapruka, including Toys, Groceries, Electronics, Birthday Cakes, Fruits, Chocolates, Flower Bouquets, Clothing, Watches, Lingerie, Gift Sets and Jewellery. Also if you’re interested in selling with Kapruka, Partner Central by Kapruka is the best solution to start with. Moreover, through Kapruka Global Shop, you can also enjoy the convenience of purchasing products from renowned platforms like Amazon and eBay and have them delivered to Sri Lanka.