Bonds retreat on fresh selling, call rate also ends lower

The government bond (G-Sec) prices declined, snapping four-straight session rising trend on back of fresh selling from banks and corporates.
The overnight call money rate also ended lower due to lack of demand from borrowing banks amid ample liquidity in the banking system.
The 8.83 per cent 10-year benchmark bond maturing in 2023 fell to Rs 101.80 from Rs 102.0250, while its yield climbed to 8.55 per cent from 8.51 previously.
The 8.12 per cent government security maturing in 2020 dropped to Rs 98.03 from Rs 98.34, while yield gained to 8.52 per cent from 8.46 per cent.
The 8.28 per cent government security maturing in 2027 dipped to Rs 97.48 as against Rs 97.85, while moved-up to 8.60 per cent from Rs 8.55 per cent.

The 8.35 per cent government security maturing in 2022 eased to Rs 98.84 as against Rs 99.12, while yield advanced to 8.55 per cent from 8.50 per cent.

The 8.24 per cent government security maturing in 2027, 8.60 per cent government security maturing in 2028 and 7.80 per cent government security maturing in 2020 were also quoted lower at Rs 97.13, Rs 101.15 and Rs 96.70, respectively.
The overnight call money rates ended lower at 7.95 per cent from last Friday's level of 8.00 per cent. It moved in wide range of 8.60 per cent and 7.00 per cent.
Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 184.24 billion in 45-bids at the 1-day repo auction at a fixed rate of 8.00 per cent today morning, while it sold securities worth Rs 8.93 billion from 6-bids at the 3-days reverse repo auction at a fixed rate of 7.00 per cent last Friday.