Bonds gains, call rates remain higher

The government bonds (G-Secs) gained further on sustained buying support from banks and corporates.
The overnight call money rate remained higher at the money market due to consistent demand from borrowing banks amid tight liquidity in the banking system.
The 8.40 per cent 10-year benchmark bond maturing in 2024 advanced to Rs 103.30 from Rs 103.1975 previously, while its yield eased to 7.90 per cent from 7.92 per cent.
The 8.60 per cent government security maturing in 2028, climbed to Rs 105.4150 from Rs 105.23, while its yield moved down to 7.94 per cent from 7.96 per cent.
The 8.83 per cent government security maturing in 2023 also rose to Rs 105.2950 from Rs 105.22, while its yield edged down to 7.99 per cent from 8.00 per cent.

The 8.27 per cent government security maturing in 2020, 8.15 per cent government security maturing in 2026 and the 8.12 per cent government security maturing in 2020 were also quoted higher at Rs 101.2775, Rs 102.04 and Rs 100.56, respectively.
The overnight call money rates ended higher at 8.25 per cent from 8.05 per cent yesterday. It resumed higher at 8.05 and moved in 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 128.28 billion in 30-bids at the 1-day repo auction at a fixed rate of 8.00 per cent today morning, while it sold securities worth Rs 24.07 billion from 13-bids at the 1-day reverse repo auction at a fixed rate of 7.00 per cent as on December 08.