Bonds recover, call rates finish higher

Government bonds (G-Secs) recovered on renewed buying support from banks, corporates and the overnight call money rates finished higher at the money market owing to good demand from borrowing banks amid tight liquidity in the banking system.
The 7.59 percent government security maturing in 2026 rose to Rs 100.80 from Rs 100.7650 previously, while its yield inched down at 7.47 per cent from 7.48 per cent.
The 7.88 per cent government security maturing in 2030 moved up to Rs 100.94 from Rs 100.87, while its yield ruled steady to 7.77 per cent.
The 7.59 per cent government security maturing in 2029 gained to Rs 99.4025 from Rs 99.34, while its yield softened to 7.66 per cent from 7.67 per cent

The 7.68 per cent government security maturing in 2023, the 8.27 per cent government security maturing in 2020 and the 7.35 per cent government security maturing in 2024 were also quoted higher to Rs 100.55, Rs 103.16 and Rs 98.53 respectively.
The overnight call money rates ended higher at 6.85 per cent from Wednesday's level of 6.35 per cent. It resumed higher at 6.55 per cent and moved in a range of 6.90 per cent and 6.45 per cent.
Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 99.76 billion in 15-bids at the overnight repo operation at a fixed rate of 6.50 per cent as on today, while it sold securities worth Rs 39.44 billion from 18-bids at the reverse repo operation at a fixed rate of 6.00 per cent as on May 18.