Bonds recover, call rates turn higher

Government bonds (G-Secs) recovered following fresh demand from corporates and banks, and the interbank call rates also turned higher due to good demand from borrowing banks amid tight liquidity conditions in the banking system.
The 7.59 per cent government security maturing in 2026 rose to Rs 103.6975 as compared to Rs 103.52 previously, while its yield moved down to 7.04 per cent from 7.07 per cent.
The 7.59 per cent government security maturing in 2029 gained to Rs 103.81 from Rs 103.60, while its yield softened to 7.12 per cent from 7.15 per cent.
The 7.61 per cent government security maturing in 2030 climbed to Rs 104.7050 from Rs 104.52, while, its yield edged down to 7.07 per cent from 7.09 per cent.

The 7.88 per cent government security maturing in 2030, the 7.68 per cent government security maturing in 2023 and the 7.72 per cent government security maturing in 2025 were also quoted higher at Rs 106.30, Rs 103.6250 and Rs 103.94 respectively.
The overnight call money rates finished higher at 6.30 per cent from Tuesday's level 6.25 per cent. It resumed higher at 6.55 per cent and moved in a range of 6.60 per cent and 6.30 per cent.
Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 36.47 billion in 8-bids at the overnight repo auction at a fixed rate of 6.50 per cent as on today, while its sold securities worth Rs 29.45 billion from 17-bids at the overnight reverse repo auction at a fixed rate of 6.00 per cent as on September 20.