Activity remains moderate ahead of weekly T-bill auctions
The activity in the secondary bond market remained moderated yesterday as the maturities of 01.10.22, 15.03.23, 01.02.26 and 15.05.30 changed hands at levels of 6.25%, 7.15% to 7.18%, 9.00% and 10.00% respectively.
At today’s bill auction, a total volume of Rs.39.5 billion will be on offer, Rs.24.5 billion less than its previous weeks total offered volume. This will consist of Rs.12 billion on the 91 day maturity, Rs.12.5 billion on the 182 day maturity and Rs.15 billion on the 364 day maturity. The stipulated cut off rate on the 364 day maturity was increased by 7 basis points to 6.12% while the maximum yield rates of the 91 day and 182 day maturities will be decided below the level of the 364 day maturity. At last week’s auction, the total accepted volume increased to 48.10% of its total offered volume while the weighted average rates on the 91 day and 364 day maturities increased by 09 basis points each to 6.01% and 6.05% respectively. All bids received on the 182 day maturity was rejected.
The total secondary market Treasury bond/bill transacted volume for 13th of September 2021 was Rs.11.15 billion.
In money markets, the weighted average rates on overnight call money and repo remained mostly unchanged at 5.96% and 5.92% respectively while the overnight net liquidity shortage stood at Rs.175.45 billion yesterday. An amount of Rs.96.18 was deposited at Central Banks SDFR (Standard Deposit facility Rate) of 5.00% against an amount of Rs.271.63 billion been withdrawn from Central Banks SLFR (Standard Lending facility Rate) of 6.00%.
USD/LKR
In the Forex market, the overall market continued to remain inactive yesterday.
The total USD/LKR traded volume for 13th September 2021 was US $ 40.05 million.
(References: Central Bank of Sri Lanka, Bloomberg E-Bond trading platform, Money broking companies)