Bonds gains, call rates end lower

The government bonds (G-Secs) gained further on sustained buying support from banks and corporates.
While, the overnight call money rate ended lower due to lack of demand from borrowing banks amid ample liquidity in the banking system.
The 8.40 per cent 10-year benchmark bond maturing in 2024 rose to Rs 103.07 from Rs 102.86 previously, while its yield fell to 7.94 per cent from 7.97 per cent.
The 8.60 per cent government security maturing in 2028 climbed to Rs 105.0850 from Rs 104.82 previously, while its yield fell to 7.98 per cent from 8.01 per cent.
The 8.15 per cent government security maturing in 2026 also moved up to Rs 101.68 from Rs 101.3750, while its yield eased to 7.93 per cent from 7.97 per cent.

The 8.27 per cent government security maturing in 2020, 8.83 per cent government security maturing in 2023 and the 8.28 per cent government security maturing in 2027 were also quoted higher at Rs 101.1450, Rs 105.10 and Rs 101.89, respectively.
The overnight call money rates opened lower at 7.40 per cent from yesterday's close of 7.50 per cent and moved in a range of 7.40 per cent and 7.25 per cent before settling at 7.25 per cent, However, the 3-day call money rate resumed higher at 8.05 per cent and moved in a range of 8.15 per cent and 7.40 per cent before closing higher at 8.00 per cent from last Friday's level of 7.90 per cent.

Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 22.01 billion in 9-bids at the 3-days repo auction at a fixed rate of 8.00 per cent today morning, while it sold securities worth Rs 44.60 billion from 20-bids at the 1-day reverse repo auction at a fixed rate of 7.00 per cent as on December 04.