Bonds recovers; call rate ends lower

The government bond (G-Sec) recovered on fresh demand from banks and corporates, while the overnight call money rates ended lower at the money market due to lack of demand from borrowing banks amidst ample liquidity in the banking system.
The 8.40 per cent government security maturing in 2024 rose to Rs 101.58 from Rs 101.3950 previously, while its yield moved-down to 8.16 per cent from 8.19 per cent.
The 8.60 per cent government security maturing in 2028 climbed to Rs 102.9175 from Rs 102.79, while its yield edged down to 8.24 per cent from 8.25 per cent.
The 8.83 per cent government security maturing in 2023 also advanced to Rs 103.57 from Rs 103.40, while its yield fell to 8.26 per cent from 8.29 per cent.

The 8.27 per cent government security maturing in 2020, the 8.28 per cent government security maturing in 2027, the 8.12 per cent government security maturing in 2020 and 8.35 per cent government security maturing in 2022 were also quoted higher at Rs 100.15, Rs 100.06, Rs 99.32 and Rs 100.3850, respectively.
The overnight call money rates resumed lower at 8.55 per cent from previous close of 8.90 per cent and moved in a range of 8.80 per cent and 7.00 before closing at 7.50 per cent.
Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 178.49 billion in 43-bids at the 1-day repo auction at a fixed rate of 8.00 per cent today morning, while it sold securities worth Rs 16.37 billion from 14-bids at the 1-day reverse repo auction at a fixed rate of 7.00 per cent as on November 11.