📈 Bond Market Starts Slow; Yields Steady as Rupee Appreciates

• Market Sentiment: The secondary bond market commenced the trading week on a slow note with dull activity and considerably lower transaction volumes. Yields continued to consolidate at prevailing levels. • Yield Breakdown: - 01.08.30 maturity traded at 11.25% - 15.01.33 maturity traded at 11.60% - 01.11.33 maturity traded at 11.66% - 15.03.35 maturity traded at 11.70% - 15.06.35 maturity traded at 11.75% • Money Market & Liquidity: Net liquidity surplus increased to Rs. 132.29 Bn (vs Rs. 128.47 Bn previously). Rs. 112.29 Bn was deposited at the Central Bank's SDFR of 8.25%. The Domestic Operations Department drained Rs. 20 Bn via an overnight repo auction at a weighted average rate of 8.75%. Weighted average rates for overnight call money and Repo stood at 9.18% and 9.21% respectively. • Forex Market: The Sri Lankan Rupee (LKR) appreciated marginally against the US$ to close at Rs. 334.90/335.00 compared to the previous close of Rs. 335.20/335.30. Total USD/LKR traded volume for July 3 stood at US$ 88.25 Mn.