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Bonds eases, call rates remain higher

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Press Trust of India Mumbai
Government bonds (G-Secs) eased further on sustained selling pressure from banks and corporates while, the inter-bank call money rates finished higher due to persistent demand from borrowing banks amid ample liquidity in the banking system.

The 7.59 per cent government security maturing in 2026 edged-down to Rs 103.28 from Rs 103.2975 previously, while its yield held stable at 7.10 per cent.

The 7.59 per cent government security maturing in 2029 fell to Rs 103.58 compared to Rs 103.67, while its yield edged up to 7.15 per cent from 7.14 per cent.

The 7.88 per cent government security maturing in 2030 declined to Rs 106.26 as against Rs 106.3725, while its yield moved up to 7.15 per cent from 7.14 per cent.
 

The 7.61 percent government security maturing in 2030, the 7.72 per cent government security maturing in 2025 and 8.12 per cent government security maturing in 2020 were also quoted lower at Rs 104.35, Rs 103.67 and Rs 104.0150, respectively.

The overnight call money rates ended higher at 6.40 per cent from last Friday's close 6.35 per cent. Its resumed higher at 6.50 per cent, after moving in a range of 6.60 per cent and 6.35 per cent.

Meanwhile, Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 86.22 billion in 20-bids at the 2-day repo auction at a fixed rate of 6.50 per cent as on today. While, its sold securities worth Rs 69.96 billion from 38-bids at the over- night 4-day reverse repo operation at a fixed rate of 6.00 per cent as on Aug 12.

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First Published: Aug 16 2016 | 7:02 PM IST

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