Bonds gain, call rates end higher

Government bonds (G-Secs) gained further on sustained buying support from banks and corporates.
The overnight call money rate ended higher at the money market due to good demand from borrowing banks amid tight liquidity in the banking system.
The 8.40 per cent government security maturing in 2024 rose to Rs 103.30 from Rs 102.70 previously, while its yield declined to 7.89 per cent from 7.98 per cent.
The 8.60 per cent government security maturing in 2028 climbed to Rs 105.35 from Rs 104.69, while its yield fell to 7.93 per cent from 8.01 per cent.
The 8.15 per cent government security maturing in 2026 alo gained to Rs 101.5875 from Rs 100.95, while its yield moved down to 7.94 per cent from 8.02 per cent.

The 8.27 per cent government security maturing in 2020 and 7.88 per cent government security maturing in 2030 and 8.83 per cent government security maturing in 2023 were also quoted higher to Rs 101.45, Rs 100.28 and Rs 105.0775, respectively.
The overnight call money rates ended higher at 8.20 per cent from last Friday's closing level of 6.60 per cent. It moved in a wide range of 8.25 per cent and 7.50 per cent.
Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 165.09 billion in a 42-bids at the 1-day repo auction at a fixed rate of 7.50 per cent as on today, while it sold securities worth Rs 11.20 billion from 5-bids at the 2-days overnight reverse repo auction at a fixed rate of 6.50 per cent as on May 9.