Bonds firm up on good demand

Government securities (G-sec) firmed up on good buying support from banks and companies. The 9.15 per cent G-sec maturing in 2024 climbed to Rs 105.7 from Rs 105.4 yesterday, while its yield declined 8.4 per cent from 8.44 per cent. The 8.79 per cent G-sec maturing in 2021 rose to Rs 102.9 from 102.6, while its yield eased to 8.3 per cent from 8.4 per cent previously. The 8.15 per cent G-sec maturing in 2022 also surged to Rs 100.6 from Rs 100.2, while its yield fell to 8.05 per cent from 8.11 per cent. The 8.19 per cent G-sec maturing in 2020, the 7.8 per cent maturing in 2018 and the 8.3 per cent maturing in 2027 also quoted higher at Rs 99.98, Rs 98 and Rs 98.38 respectively.

Call rate improves further
The call money rate improved further on the overnight market on Thursday, on sustained demand from borrowing banks. The overnight rate finished higher at 8.2 per cent from the last close of 8.1 per cent. It moved in a range of 8.25 per cent and eight per cent. The Reserve Bank of India under the Liquidity Adjustment Facility purchased securities worth Rs 1,12,285 crore in 47 bids at the one-day repo auction, at a fixed rate of eight per cent.