Bonds gains, call rates ends higher

Government bonds (G-Secs) gained further on the back of robust demand from corporates and market participants and the call money rates recovered due to good demand from borrowing banks amid ample liquidity conditions in the banking system.

The 7.59% government security maturing in 2026 rose to Rs 101.18 compared to Rs 100.9550 previously, while its yield declined to 7.72% from 7.76%.

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The 7.88% government security maturing in 2030 climbed to Rs 101.3250 from Rs 101.01, while its yield moved down to 7.72% from 7.76%.

The 7.72% government security maturing in 2025 advanced to Rs 100.80 from Rs 100.5325, while its yield fell to 7.59% from 7.64 per cent.

The 7.59% government security maturing in 2029, the 7.72% government security maturing in 2025 and the 8.27% government security maturing in 2020 were also quoted higher at Rs 99.80, Rs 100.80 and Rs 103.3950, respectively.

The overnight call money rates finished higher at 6.80% from last Thursday's closing of 6.10%. It opened higher at 6.50% and moved in a range of 6.90% and 6.40%.

Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF),purchased securities worth Rs 188.73 billion in 44-bids at the 3-day reverse repo operation at a fixed rate of 6.00% as April 8.

While, its sold securities worth Rs 163.10 billion from 41-bids at the one-day overnight repo auction fixed rate of 6.50% as on today.