Bonds recover, call rate ends slightly higher

The government bonds (G-Sec) recovered on fresh buying support from banks and corporates and the overnight call rate also ended slightly higher at the overnight money market due to good demand from borrowing banks.
The 8.83 per cent 10-year benchmark bond maturing in 2023 climbed to Rs 101.1750 from Rs 100.61 previously, while its yield fell to 8.64 per cent from 8.73 per cent.
The 8.40 per cent government security maturing in 2024 shot-up to Rs 99.47 from Rs 99.1175, while its yield moved down to 8.48 per cent from 8.53 per cent.
The 8.60 per cent government security maturing in 2028 advanced to Rs 99.64 from Rs 99.01, while its yield declined to 8.64 per cent from 8.72 per cent.

The 8.12 per cent government security maturing in 2020, 7.80 per cent government security maturing in 2020 and 8.28 per cent government security maturing in 2027 and the 8.35 per cent government security maturing in 2022 were also quoted higher at Rs 97.62, Rs 96.1650, Rs 96.25 and Rs 98.0450, respectively.
The overnight call money rates finish higher at 7.05 per cent from yesterday's level of 7.00 per cent. It moved in a wide range of 8.35 per cent and 6.95 per cent.
Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 187.25 billion in 51-bids at the 1-day repo auction at a fixed rate of 8.00 per cent today morning, while it sold securities worth Rs 120.18 billion from 29-bids at the 1-day reverse repo auction at a fixed rate of 7.00 per cent last evening.