Bonds, call rates rebound after demand shapes up

Government bonds (G-Secs) recovered on fresh buying support from banks and corporates and the overnight call money rates also turned higher due to good demand from borrowing banks amid adequate liquidity in the banking system.
The 7.59 per cent government security maturing in 2026 climbed to Rs 104.6175 from Rs 104.5650 previously while its yield inched down to 6.90 per cent from 6.91 per cent.
The 6.97 per cent government security maturing in 2026 spurted to Rs 101.0850 from Rs 101.08 while its yield held stable at 6.82 per cent.
The 7.61 per cent government security maturing in 2030 rose to Rs 105.07 from Rs 105.05 while its yield softened to 7.02 per cent from 7.03 per cent.

The 7.59 per cent government security maturing in 2029, the 7.88 per cent government security maturing in 2030 and the 7.68 per cent government security maturing in 2023 were also quoted higher at Rs 104.57, Rs 107.07 and Rs 104.61, respectively.
The overnight call money rates finished higher at 6.25 per cent from Tuesday's closing level of 6 per cent. It resumed higher at 6.25 per cent and moved in a range of 6.25 per cent and 6.10 per cent.
Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 34.84 billion in 6 bids at the overnight repo auction at a fixed rate of 6.25 per cent as on today.

It sold securities worth Rs 82.21 billion from 29 bids at the overnight reverse repo auction at a fixed rate of 5.75 per cent as on November 1.