Sri Lanka’s rupee strengthened against the US dollar in Friday’s spot trading, with dealers quoting the currency at 335.25/35.
The move marks a reversal of the recent depreciation trend, as the currency improved from Thursday’s close of 335.90/336.00.
The stabilization follows a period of volatility, with the rupee having weakened to 336.50/80 on Wednesday before finding support in Thursday’s session.
Friday’s tighter spread and stronger mid-point suggest renewed buying interest or reduced selling pressure in the foreign exchange market.
In the fixed-income market, Sri Lankan bond yields edged up slightly on Friday.
Dealers attributed the modest rise in yields to profit-taking activity, indicating that some investors are locking in gains after recent price movements.