Bonds rebound, call rates turn lower

PTI|
Feb 23, 2018, 07.02 PM IST
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The 7.17 per cent government security maturing in 2028 went-up to Rs 96.5875 from Rs 96.06.
Mumbai: Government bonds (G-Secs) rebounded following renewed demand from corporates and banks, while, the overnight call money rates turned lower due to lack of demand from borrowing banks amid comfortable liquidity in the banking sytem.

The 7.17 per cent government security maturing in 2028 rose to Rs 96.5875 from Rs 96.06, while, its yield moved down to 7.67 per cent from 7.75 per cent.

The 6.68 per cent government security maturing in 2031 climbed to Rs 89.6450 from Rs 89.15, while, its yield edged down to 7.94 per cent from 8.00 per cent.

The 6.79 per cent government security maturing in 2027 rose to Rs 93.10 from Rs 92.72, while, its yield eased to 7.85 per cent from 7.91 per cent.

The 6.84 per cent government security maturing in 2022, the 7.72 per cent government security maturing in 2025 and the 8.20 per cent government security maturing in 2022 were also quoted higher to Rs 97.5750, Rs 100.00 and Rs 102.67 respectively.

The overnight call money rates finished lower to 5.85 per cent from Thursday's closing level of 5.95 per cent. It resumed higher to 6.05 per cent and moved in a range of 6.05 per cent and 5.70 per cent.

Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 36.05 billion in 5-bids at the 3-days repo opertion at a fixed rate of 6.00 per cent as on today, while its sold securities worth Rs 98.65 billion in 40-bids at the overnight reverse repo auction at a fixed rate of 5.75 per cent as on February 22.
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