Bonds finish mixed; call rates ease

Government bond (G-Secs) prices ended mixed in thin trade owing to alternate bouts of buying and selling amid profit taking by market participants ahead of the long weekend.
The inter-bank call money rates retreated modestly due to lack of demand from borrowing banks on the back of adequate liquidity in the banking system.
The 7.59 per cent government security maturing in 2026 climbed to 100.9550 from 100.8650 yesterday, while its yield softened to 7.45 per cent from 7.46 per cent.
The 7.88 per cent government security maturing in 2030 firmed up to Rs 101.01 from Rs 100.7725, while its yield fell to 7.76 per cent from 7.79 per cent.

The 7.72 per cent government security maturing in 2025 rose to Rs 100.5325 against Rs 100.39 previously, while yield moved down to 7.64 per cent from 7.66 per cent.
The 7.59 per cent government security maturing in 2029 edged up to Rs 99.49 from Rs 99.36, while its yield inched lower to 7.65 per cent compared to 7.67 per cent earlier.

However, the 7.68 per cent government security maturing in 2023, the 8.27 per cent government security maturing in 2020 and the 7.35 per cent government security maturing in 2024 were also quoted substantially lower at Rs 100.60, Rs 103.28 and Rs 98.29, respectively.

The overnight call money rates ended marginally lower at 6.10 per cent from Wednesday's closing level of 6.30 per cent. It opened firmly higher at 6.50 per cent and traded in a narrow range of 6.55 per cent and 6.00 per cent in early trade.
Meanwhile, Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 53.85 billion in 10-bids at the 4-day overnight repo auction at a fixed rate of 6.50 per cent this morning.
It sold securities worth Rs 111.62 billion from 51-bids at the overnight reverse repo auction at a fixed rate of 6.00 per cent late evening yesterday.