Sri Lanka’s rupee ends weaker, gilt yields ease

ECONOMYNEXT – Sri Lanka’s rupee closed weaker at 179.70/180.00 against the US dollar on Friday, while bond yields eased after the monetary policy rate cut, dealers said.

The rupee closed at 179.30/60 against the greenback on Thursday.

Liquidity in the overnight money market was 25.95 billion rupees, up from 22.69 billion rupees on Thursday.

Central Bank injected 5.00 billion rupees in an overnight reverse repo auction at 7.31 percent.
    
In the secondary bond market, gilt yields eased in active trading.
    
Dealers said as expected the bond yields eased after the rate cut.
    
A bond maturing on 15.10.2021 closed at 8.70/77 percent on Friday, easing from 8.95/9.02 percent on Thursday.
    
A bond maturing on 15.03.2023 closed at 9.50/55 percent, down from 9.65/72 percent.
    
A bond maturing on 15.06.2024 closed at 9.80/82 percent, falling from 9.98/10.00 percent.
    
A bond maturing on 01.08.2026 closed at 9.90/10.00 percent, easing from 10.05/15 percent.
    
A bond maturing on 15.01.2027 closed at 9.98/10.02 percent, down from 10.09/12 percent.
    
A bond maturing on 01.05.2028 closed at 10.00/15 percent, easing from 10.15/25 percent.
    
A 20-year bond maturing on 15.08.2039 closed at 10.05/25 percent, down from 10.15/35 percent. (COLOMBO, 23 August, 2019)