Bond prices end mixed, call rates soften

The government bond (G-Sec) prices finished narrowly mixed on alternate bouts of buying and selling.
However, call rates eased on the overnight call money market here due to lack of demand from borrowing banks on the back of comfortable liquidity in the banking system.
The 8.28 per cent government security maturing in 2027 moved up to Rs 95.19 from Rs 95.15, while its yield slipped to 8.90 per cent from Rs 8.91 per cent.
The 7.16 per cent government security maturing in 2023 edged up to Rs 89.65 from Rs 89.64, while yield held steady at 8.86 per cent.
The 8.32 per cent government security maturing in 2032 also firmed up to Rs 95.10 from Rs 94.9125, while yield fell to 8.87 per cent as against 8.89 per cent.

However, the 8.83 per cent 10-year benchmark bond maturing in 2023 declined to Rs 100.81 from Rs 101, while its yield rose to 8.70 per cent from 8.67 yesterday.

The 8.12 per cent government security maturing in 2020 skidded to Rs 96.93 from Rs 96.96, while yield gained to 8.75 per cent from 8.74 per cent.
The 8.35 per cent government security maturing in 2022 looked down to Rs 97.88 from Rs 97.98, while its yield inched up to 8.72 per cent from 8.71 per cent.
The call rate declined to 7.10 per cent as compared with 7.75 per cent on Tuesday. It fluctuated between a high of 8.20 per cent and a low of 7.00 per cent earlier.

Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 104.39 billion in 20-bids at the 1-day repo auction at a fixed rate of 8.00 per cent today morning, while it sold securities worth Rs 63.71 billion from 16-bids at the 1-day reverse repo auction at a fixed rate of 7.00 per cent last evening.