Sri Lanka rupee ends weaker, gilt yields ease
ECONOMYNEXT- Sri Lanka’s rupee closed weaker at 181.85/90 to the US dollar in the spot market on Thursday while bond yields eased, dealers said.
The rupee ended at 181.65/70 to the greenback on Wednesday.
Liquidity in the overnight money market was 66.18 billion rupees on Thursday, up from 58.56 billion rupees at Wednesday’s close.
Central Bank mopped up 20.00 billion rupees at 6.96 percent in an overnight reverse repo auction.
Banks deposited 27.20 billion rupees through Central Banks excess liquidity window.
In the government securities market, bond yields eased in active trade as a result of an increase in liquidity in the overnight money market.
Dealers said that the 2024 maturity remained liquid.
A bond maturing on 15.12.2021 closed at 8.75/95 percent on Thursday, stable from 8.75/9.00 percent at Wednesday’s close.
A bond maturing on 01.09.2023 closed at 9.30/40 percent, easing from 9.40/50 percent at its previous close.
A bond maturing on 15.09.2024 closed at 9.60/67 percent on Thursday, falling from 9.68/75 percent at Wednesday’s close.
A bond maturing on 15.10.2027 closed at 9.80/90 percent, sliding from 9.85/95 percent at Wednesday’s close.
A bond maturing on 15.05.2030 closed 9.90/10.10 percent on Thursday, stable from 9.90/10.20 percent at yesterday’s close.
A bond maturing on 15.09.2034 closed at 9.80/10.15 percent, steady from 9.90/10.20 percent its last close. (Colombo/Feb27/2020)
Kithmina Hewage- Institute of Policy Studies