“Indications of market surplus liquidity reducing further added pressure on secondary market bond yields in morning trading yesterday,” it said.
“The three year maturity was seen edging up the most by around six basis points as its yield hit an intraday high of 13.88%, while a limited amount of activity was witnessed on the 19 month bond, four year bond and five year bond at levels of 13.74%, 14.20% and 14.32% respectively. In addition further selling pressure was witnessed on secondary market treasury bills as well,” debt market specialist Wealth Trust said.
In money markets, it said, overnight call money and repo rates remained mostly unchanged yesterday, at levels of 10.50% – 10.55% and 9.55% – 9.65% respectively as market surplus liquidity dipped by Rs. 1.7 billion from its Fridays level of Rs. 5.692 billion. Furthermore an amount of Rs. 4 billion was mopped up on an overnight basis at a weighted average of 9.430%, by Central Bank through its Open Market Operations (OMO),” Wealth Trust said.
“The rupee remained stable at levels of Rs. 132.20 as volumes traded moderated,” it added. Among forward dollar rates that prevailed in the market, were one month – Rs. 133.52; three months – Rs. 135.99 and six months – Rs. 139.27.
http://www.ft.lk/2012/08/21/secondary-market-treasury-yields-rise-rupee-stable/