The week ending September 23, 2022 saw the positive momentum in the primary market (Treasury Bill auction) continuing as the weekly Treasury Bill weighted average rates decreased across the board for a second consecutive week to 31.95%, 30.63% and 29.87% on the 91-day, 182 day and 364-day maturities against its averages of 32.89%, 31.28% and 30.50% recorded on September 7, 2022. Yet again, the total offered amount was taken up fully at its first phase of the auction in addition to a further Rs.16.25 billion been taken up at its second phase.
The secondary bond market actvity mainly centered on the liquid 10 year maturity of 01.07.32 as it was seen changing hands from a high of 29.75% to 29.25% prior to the bill auction and between 29.25% to 29.52% following the bill auction.
The National Consumer Price Index (NCPI; Base 2013 = 100) for August increased to a high of 70.2% on its point-to-point against its previous month’s figure of 66.7%.
In money markets, the total outstanding liquidity deficit increased to Rs.569.85 billion by the end of the week against its previous weeks of Rs.556.58 billion while the CBSL’s holding of Gov. Security’s decreased to Rs. 2,321.11 billion against its previous weeks of Rs. 2,361.57 billion.
(References: Central Bank of Sri Lanka, Bloomberg E-Bond trading platform, Money broking companies)
Courtesy: Wealth Trust Securities Ltd