The secondary market witnessed buying interest across most maturities yesterday, resulting in a slight downward movement in the yield curve.
However, the trading volumes remained relatively low throughout the session.
Among the trades recorded, in the 2030 segment, 15.05.2030 traded at 11.40 percent, 01.07.2030 at 11.50 percent and 15.10.2030 at 11.60 percent.
In the 2031 segment, 01.02.2031 traded between 11.75 percent and 11.72 percent, while 01.12.2031 traded at 11.85 percent.
Further along the curve, 15.12.2032 traded at 12.00 percent. In the 2033 segment, 15.01.2033 traded between 12.18 percent and 12.10 percent, while 01.06.2033 traded at 12.20 percent.
Finally, in the 2034 segment, 15.06.2034, 15.09.2034 and 15.10.2034 traded within the range of 12.35 percent and 12.45 percent.
Yesterday, the PDMO concluded its weekly T-bill auction, raising Rs.80.6 billion, below the initial offer amount of Rs.100.0 billion. For the three-month T-bill, Rs.40.0 billion was initially offered, while Rs.70.4 billion was accepted.
The weighted average yield rate (WAYR) increased by 2bps to 9.32 percent. For the six-month T-bill, the PDMO accepted only Rs.3.9 billion against an offered amount of Rs.35.0 billion, with the WAYR remaining unchanged at 9.44 percent.
For the 12-month T-bill, Rs.6.3 billion was accepted, which was below the offered amount, while the WAYR remained unchanged at 9.95 percent.
On the external front, the Sri Lankan rupee marginally depreciated against the US dollar, standing at Rs.331.75/US dollar, compared to Rs.331.54/US dollar seen earlier. Market liquidity in the banking system contracted to Rs.379.13 billion, compared to Rs.389.29 billion recorded previously.
