Rupee firms to 335.35/45 as short-dated bond yields ease

Sri Lanka’s rupee closed stronger at 335.35/45 to the US dollar in the spot market on Friday, from 335.55/80 a day earlier, dealers told EconomyNext.

Government bond yields closed down across most of the shorter tenors.

Bond close

A bond maturing on 15.09.2027 closed flat at 10.00/20 percent.

Paper maturing on 15.10.2028 closed at 10.45/50 percent, down from 10.50/65 percent, while a 15.12.2029 bond eased to 10.80/90 percent from 10.90/11.00 percent. A 15.10.2030 maturity closed at 11.25/30 percent, down from 11.33/37 percent.

The longer end was mixed. A bond maturing on 01.02.2031 closed at 11.35/40 percent, quoted up from 11.31/40 percent, and a 15.10.2034 maturity closed at 12.10/15 percent against 12.12/13 percent previously. A 15.08.2036 bond closed at 12.55/60 percent from 12.55/65 percent, and a 01.07.2037 maturity at 12.55/65 percent from 12.60/65 percent.

The moves came at the end of a week in which the Colombo Stock Exchange also advanced, with the All Share Price Index closing at 21,370.09 on Friday after a third consecutive session of gains.

Source: EconomyNext.