Sri Lanka rupee ends weaker, gilt yields ease

ECONOMYNEXT- Sri Lanka’s rupee closed weaker at 181.70/85 to the US dollar in the spot market on Monday from last Thursday’s close while bond yields eased, dealers said.

Markets were closed on Friday due to the traditional Mahasivarathri holiday.

The rupee ended at 181.55/60 to the greenback on Wednesday.

Liquidity in the overnight money market was 29.94 billion rupees, up from 14.98 billion rupees at Thursday’s close.

In government securities, the market witnessed mixed activity with bond yields easing on the belly end of the curve whilst overall market witnessing moderate trade following a cancellation of a bond auction previously scheduled to happen on the 27th February, said dealers at First Capital Research.

Dealers said 2024 maturities remained highly liquid.

A bond maturing on 15.12.2021 closed at 8.95/05 percent on Monday, falling from 9.00/15 percent at Thursday’s close.

A bond maturing on 01.09.2023 closed at 9.50/60 percent, up from 9.45/60 percent at the previous close.

A bond maturing on 15.09.2024 closed at 9.70/80 percent, easing from 9.78/85 percent at the previous day’s end.

A bond maturing on 15.10.2027 closed at 9.85/10.00 percent, down from 9.90/10.05 percent.

A bond maturing on 15.05.2030 closed at 10.05/10.15 percent.

A bond maturing on 15.09.2034 closed at 10.10/10.30 percent, gaining from 9.90/20 percent.

(Colombo/Feb24/2020)