The Sri Lanka rupee opened stronger against the US dollar on Tuesday, reflecting positive market sentiment, while government bond yields saw a slight uptick. Dealers reported steady trading activity, signaling cautious optimism in the financial markets.
Sri Lanka rupee gains value as bond yields edge up and stock market trades mixed
The Sri Lanka rupee strengthened against the US dollar, opening at 301.88/93, improving from 301.97/302.02 recorded the previous day. Dealers noted that while the currency gained slightly, bond yields edged higher across several maturities.
A government bond maturing on 01.07.2028 was quoted at 8.95/9.05 percent. Similarly, the bond maturing on 15.12.2029 saw a marginal increase, quoted at 9.52/57 percent, up from 9.51/55 percent. The 01.07.2030 bond was priced at 9.65/75 percent, while the 15.12.2032 bond edged up slightly to 10.35/45 percent from 10.35/43 percent.
Telegraphic transfer rates for major currencies reflected stable trends. The US dollar was recorded at 298.4000 for buying and 305.4000 for selling, while the British pound stood at 404.0034 buying and 415.3452 selling. The euro traded at 349.2739 buying and 360.4791 selling.
On the stock market front, the Colombo Stock Exchange displayed mixed performance. The All Share Price Index (ASPI) slipped by 0.02 percent, or 3.29 points, to 20,902, while the S&P SL20 index rose 0.17 percent, or 9.92 points, closing at 5,945.
Looking ahead, the Central Bank of Sri Lanka announced an upcoming auction of Rs 77,000 million in Treasury bills scheduled for September 10. This move is expected to impact liquidity and investor activity, keeping market watchers attentive to the performance of the Sri Lanka rupee and related financial instruments.