Thursday, May 9, 2013

T-bill yields down, bourse surge eases

The Central Bank accepted bids amounting to Rs. 16 billion at yesterday’s (08) primary market auction of Treasury bills amounting to Rs. 12 billion with yields easing across the board.

The three-month Treasury bill yields eased to 9.18 percent, down two basis points from last week while the six month yield eased to 10.20 percent from 10.22 percent the previous week. The twelve month yield eased 4bps to 11.29 percent.

Total bids amounted to Rs. 39.44 billion.

Meanwhile, Central Bank Treasury bill holdings have declined to Rs. 93.5 billion yesterday from Rs. 163.3 billion as at end December 2012. The holdings, representing money printed for the government reached a low Rs. 83.9 on April 29, 2013, before building up to Rs. 101.1 billion on May 03, and declining again thereafter.

The upsurge at the Colombo bourse eased on Wednesday with the All Share Price Index gaining 8.42 points to close at 6,210.10, up 0.14 percent.

The S&P SL20 closed 0.27 percent higher, gaining 9.35 points to 3,521.3.

Turnover reached Rs. 1,465.4 million.

Foreign purchases amounted to Rs. 308.35 million, but with heavier foreign selling a net outflow of Rs. 92.13 million was seen.

ASIR (five million shares at Rs. 15.50) and COMB (two million shares at Rs. 118) featured in off market transactions during the day.

"The ASPI ended higher amid sustained buying interest in selected large and mid-cap counters. Market turnover remained above Rs.1bn for a third consecutive day and was dominated by trades on banking and diversified counters, with COMB, JKH, and VONE collectively accounting for roughly 40% of turnover," John Keells Stockbrokers said.

"Gainers matched losers with Capital Alliance, Lanka Ashok and Ceylinco Insurance advancing by 19.0%, 11.9% and 10.0% offsetting declines in Selinsing, Harischandra Mills and Gestetner which fell by 19.7%, 12.5% and 11.0% respectively," DNH Financial said.

source - www.island.lk

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