Secondary Bond market activity subdued amidst Cyclone Ditwah aftermath

Yields exhibit mixed movements Foreign holdings of Rupee treasuries continue to climb

- BY WEALTH TRUST SECURITIES

THE secondary Bond market last week started off slowly and activity remained relatively subdued, as market participants adopted a wait and see approach amidst the aftermath of Cyclone Ditwah.

However, transaction volumes were seen at healthy levels boosted by several block transactions. Yields were seen drifting higher particularly on the short to belly end of the yield curve, specifically 2026 to 2033 tenors.

Nevertheless, the long end of the yield curve; the tenors 2034 and beyond, held intact as concentrated buying interest was observed. In conclusion, secondary Bond market closing two-way quotes reflected mixed movement and as a result the yield curve was observed flattening.