Dull sentiment emerges following bond auction

30 November 2024 03:24 am Views - 23

By First Capital Research
After several consecutive sessions of bullish market activity, the market participants opted to maintain a dull sentiment through the day, following the Rs.205.0 billion worth bond auction on Thursday, as the secondary market witnessed thin trading volumes with limited market activity. 
As a result, the secondary market yield curve remained unchanged, compared to the previous session. However, selected maturities in the short to mid tenures, specifically 01.05.27, 01.07.28, 15.10.28 and 01.12.31, attracted investor interest, trading at 10.20 percent, 10.53 percent, 10.54 percent and 11.31 percent, respectively. Meanwhile, on the external front, the Sri Lankan rupee appreciated against the US dollar, closing at Rs.290.92/US dollar, compared to Rs.291.09/US dollar recorded the previous day. However, the Sri Lankan rupee continued to depreciate against the other major currencies such as the GBP, EUR, JPY, CNY and AUD as well. Furthermore, overnight liquidity in the banking system increased to Rs.186.91 billion, from Rs.169.56 billion recorded the previous day whilst the Central Bank holdings of government securities remained stable at Rs.2,515.62 billion for the day.