Bonds rise on good demand

Government securities (G-sec) rose on good buying from banks and companies.

The 8.33 per cent G-sec maturing in 2026 climbed to Rs 100.54 from Rs 100.43 yesterday, while its yield edged down 8.26 per cent from 8.27 per cent. The 8.15 per cent G-sec maturing in 2022 surged to Rs 99.90 from 99.86, while its yield inched down to 8.16 per cent from 8.17 per cent.

The 8.20 per cent G-sec maturing in 2027 also rose to Rs 100.08 from 100.05, while its yield held steady at 8.19 per cent. The 8.19 per cent G-sec maturing in 2020, the 8.07 per cent maturing in 2017 and the 8.97 per cent maturing in 2030 also quoted higher at Rs 99.65, Rs 99.55 and Rs 104.39, respectively.

Call rate remains weak
Call rates remained weak at the overnight money market in the absence of demand from borrowing bank.

The rate ended lower at 7.95 per cent from eight per cent previously. It moved in a range of 8.10 per cent and 7.90 per cent. The Reserve Bank of India under the Liquidity Adjustment Facility purchased securities worth Rs 602.70 billion in 30 bids at the one-day repo auction at a fixed rate of eight per cent. It sold securities worth Rs 3 billion from one bid at the single-day reverse repo auction at a fixed rate of seven per cent.