Sri Lanka rupee ends firmer, gilt yields slightly up

ECONOMYNEXT – Sri Lanka rupee was close stronger at 181.35/40 percent to the US dollar in the spot market on Wednesday while gilt yields gained marginally, dealers and brokers said.

The rupee closed at 181.48/52 to the greenback on Monday.

Liquidity in the overnight money market was 26.57 billion rupees, up from 23.21 billion rupees at Monday’s close.

Banks deposited 40.38 billion rupees through the Central Bank’s excess liquidity window.

There were no repo or reverse repo auction for the day.

In the government securities market, bond yields edged up in moderate trade, a dealer said.

Dealers said the liquidity centered on 2024 maturities.

Sri Lanka’s debt office offered 30,000 million rupees worth of treasury bills split into 4,000 million rupees of three months bills, 8,000 million rupees of six months bills and 18,000 million rupees of one-year bills in an auction today.

Dealers said the auction rates eased 14 basis points on 3-months bills, 16 basis points on 6-months bills and 17 basis points on 12-month bills.

A bond maturing on 15.12.21 closed at 8.50/65 percent on Wednesday gaining from 8.45/65 percent at Monday’s close.

A bond maturing on 01.09.2023 closed at 9.00/9.15 percent, stable from 9.00/9.10 percent at its previous close.

A bond maturing on 15.09.2024 closed at 9.30/34 percent on Wednesday, climbing from 9.26/30 percent at Monday.

A bond maturing on 15.10.2027 closed at 9.47/55 percent, marginally up from 9.45/50 percent.

A bond maturing on 15.05.2030 closed at 9.50/65 percent, up from 9.45/60 at Monday’s close.

A bond maturing on 15.09.2034 closed at 9.50/70 percent, climbing from 9.45/65 percent from its last closing.

Call money closed at 6.95 / 7.02 percent on Wednesday. (Colombo/Feb05/2020)