Sri Lanka money tight, stocks open weaker

Dec 19, 2011 (LBO) – Sri Lanka’s money markets were tight with overnight gilt backed cash trading around 7.75/8.00 percent and call money at 8.75/9.00 percent and stocks opened weaker in thin liquidity, brokers and dealers said. But a 2015 July bond was quoted lower at 9.90/95 percent, in a slight anomaly, dealers said.

The central bank injected 4.4 billion rupees to the market at 7.76 percent to the market through a reverse repo auction, dealers said. The 7.0 billion auction attracted bids of 13.65 billion rupees.

Equities opened weaker but edged higher in late morning trade in thin trade, brokers said. In nearly two hours of trading volume was around 200 million rupees.

Industrial Asphalts, an illiquid stock fell 180 rupees to 435 in intra-day trade, broker said.

In debt markets a bond maturing 2014 March bond was quoted around 9.83/9.88 percent and a 2014 July bond was quoted around 9.95/10.05 percent, amid low liquidity.