Sri Lanka rupee slips, bond yields stable at close

ECONOMYNEXT- Sri Lanka’s rupee closed weaker at 180.80/90 to the US dollar on Thursday while bond yields were stable, brokers said.

The rupee closed at 180.70/80 against the greenback on Wednesday.

In the overnight money market, liquidity fell marginally to 13.8 billion rupees.

Banks borrowed 10 billion rupees less from the central bank window.

The central bank injected 15 billion rupees through an overnight reverse repo auction at 7.55 percent.

A two-week 14.8 billion rupee term reverse repo is maturing on Friday, and the central bank today held another term auction for 20 billion rupees, accepting 17.3 billion rupees at 7.654 percent, to be settled tomorrow.

In the secondary bond market, yields were flat with moderate activity in the afternoon session, dealers said.

Selling interest in the early afternoon were buoyed by buying towards the latter part of the day, dealers said.

A bond maturing on 15.12.2021 closed at 8.65/75 on Thursday, flat from Wednesday’s close.

A bond maturing on 15.07.2023 closed at 9.65/75 percent, up from 9.60/70 percent.

A bond maturing on 15.09.2024 closed at 10.03/07 percent, stable from 10.03/10.08 percent.

A bond maturing on 15.10.2027 closed at 10.27/32 percent, edging down from 10.28/35 percent.

A 15-year bond maturing on 15.09.2034 closed flat at 10.65/75 percent. (Colombo/Nov07/2019)