The bearish sentiment prevailing in the secondary bond market continued during the shortened trading week ending January 13, 2022 as well while yields were seen closing marginally higher in comparison to its previous week’s closing.
The limited trades that took place were following the primary auctions and on the maturities of 15.03.25 and 15.12.27 at levels of 11.00% and 11.75% to 11.55%. In addition, 01.05.25 and 15.10.27 maturities traded at levels of 11.00% to 11.05% and 11.65% as well.
At the primary auctions, the total accepted amount at the T-bond auctions were seen increasing to 80.46% of its total offered volume in comparison to 52% at its previous round of auctions while the weekly T-Bill auction was fully subscribed for a second consecutive week.
In money markets, the total outstanding liquidity deficit increased during the week to register Rs.459.93 billion by the end of the week against its previous weeks Rs. 424.45 billion while CBSL’s holding of Gov. Securities remained steady at Rs. 1,416.39 billion. The weighted average rates on overnight call money and repo was 5.94% and 5.99% for the week.
(References: Central Bank of Sri Lanka, Bloomberg E-Bond trading platform, Money broking companies)
Courtesy: Wealth Trust Securities Ltd