Rates on three-month papers increased 5-10 basis points today due to huge supply in such tenure and also because liquidity continued to remain tight in the banking system, dealers said.
Three-month certificates of deposit were quoted at 8.20-8.25 per cent as against 8.05-8.25 per cent Monday, while three-month commercial papers were quoted at 8.60-8.65 per cent versus 8.50-8.60 per cent Monday.
Rates on one-year tenure largely remained unchanged at 8.70-8.90 per cent levels because issuers stayed away on hopes rates may fall soon.
