Bonds recover on fresh demand

Government securities (G-sec) recovered on fresh buying from banks and companies. The 9.15 per cent G-sec maturing in 2024 climbed to Rs 105.57 from Rs 105.3175 yesterday, while its yield declined 8.41 per cent from 8.45 per cent. The 8.79 per cent G-sec maturing in 2021 rose to Rs 102.7 from 102.6, while its yield eased to 8.36 per cent from 8.38 per cent previously.

Call rates rise
Call money rate rose on the overnight call money market on Tuesday on good demand from borrowing banks. The rate finished higher at eight per cent from last Friday’s close of seven per cent. It moved in a range of 8.30 per cent and eight per cent. The Reserve Bank of India under the Liquidity Adjustment Facility purchased securities worth Rs 97,915 crore in 47 bids at the one-day repo auction at a fixed rate of eight per cent and sold securities worth Rs 1,600 crore from two bids at the one-day reverse repo auction at a fixed rate of seven per cent.