📈 T-Bill Yields Decline After 5-Week Rally

Treasury Bill yields eased across all maturities at the latest auction, marking the first decline in five weeks and signaling a shift in the debt market sentiment. • Yield Movements • 91-Day: 7.93% (-2 bps) • 182-Day: 8.36% (-8 bps) • 364-Day: 8.47% (-1 bp) • Auction Results The Public Debt Management Office raised Rs. 112.48 Bn (89.99% of the Rs. 125 Bn offered). Despite being marginally undersubscribed, total bids reached 2.81 times the offered volume, showing robust investor appetite. • Secondary Bond Market Activity remains healthy with consolidation in yields. Key trades included the 2028 maturities within the 9.05%-9.20% range and the 2031 maturity at 10.00%-9.98%. Total secondary market volume reached Rs. 13.95 Bn. • Money & Forex Markets • Liquidity: Net surplus remains high at Rs. 189.06 Bn. • Forex: The USD/LKR spot contract slightly depreciated to close at Rs. 309.72/309.80, with a daily traded volume of US$ 88.70 Mn. Constructive sentiment continues to be supported by a strong liquidity backdrop and favorable money market conditions.