9 January 2025 12:30 am Views - 54
By First Capital Research
The Central Bank of Sri Lanka successfully conducted the second weekly T-bill auction for 2025, raising Rs.102.0 billion, with the total offered amount being fully accepted across all maturities.
Bids received for all the three maturities exceeded the total offered amount, with the six-month T-bill attracting the most interest. Meanwhile, the weighted average yield rates declined across the board for the fifth consecutive week at yesterday’s T-bill auction. The three-month T-bill closed at 8.47 percent (-08bps), six-month T-bill at 8.60 percent (-12bps) and one-year T-bill at 8.90 percent (-04bps).
The secondary market yield curve saw slight buying interest whilst the post T-bill auction, the six-month and one-year T-bills traded at 8.52 percent and 8.82 percent, respectively. Amongst the traded maturities, at the short end 15.12.2026 and 15.01.27 bonds traded at the range of 9.55 percent to 9.45 percent, while the 15.12.2027 traded at 9.90 percent.
Furthermore, 15.01.28, 15.02.28 and 15.03.28 traded in the range of 10.20 percent to 10.10 percent whilst 01.05.28 and 01.07.28 traded in the range of 10.42 percent to 10.30 percent. Towards the belly end, 15.10.28 and 15.12.28 traded at the range of 10.56 percent to 10.50 percent and 15.09.29 traded between 10.80 percent to 10.78 percent.
On the external front, the Sri Lankan rupee slightly depreciated against the US dollar and closed at Rs.296.15/US dollar. Meanwhile, overnight liquidity increased at yesterday’s session to Rs.144.96 billion while the Central Bank holdings continued to remain stagnant at Rs.2,515.62 billion.