Bonds firm up, call rates finish higher

Government bonds (G-Secs) firmed up on rising buying support from banks and corporates and the overnight call money rates also finished higher due to good demands from borrowing banks amid adequate liquidity in the banking system.
The 7.72 per cent government security maturing in 2025 rose to Rs 99.8950 from Rs 99.5500 previously, while its yield fell to 7.73 from 7.79 per cent.
The 7.88 per cent government security maturing in 2030 went up to Rs 99.81 from Rs 99.30, while its yield eased to 7.90 per cent from 7.96 per cent.
The 7.68 per cent government security maturing in 2023 moved up by Rs 99.84 from Rs 99.5750, while its yield edged down to 7.71 per cent from 7.75 per cent.

The 8.27 per cent government security maturing in 2020, the 7.35 per cent government security maturing in 2024 and the 8.40 per cent government security maturing in 2024 were also quoted higher at Rs 102.09, Rs 97.6550 and Rs 103.1475, respectively.
The overnight call money rates finished higher at 7.10 per cent from Tuesday's closing level of 5.80 per cent. It resumed higher at 6.80 per cent and moved in a wide range of 7.45 per cent and 6.70 per cent.
Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 223.15 billion in 51 bids at the overnight repo auction at a fixed rate of 6.75 per cent as on today.

It sold securities worth Rs 167.54 billion from 31 bids at the overnight reverse repo auction at a fixed rate of 5.75 per cent as on December 15.