Bonds slip; call rate ends higher

The government bonds (G-Sec) slipped on selling pressure from banks and corporates, while the overnight call money rates ended higher at the money market due good demand from borrowing banks amidst tight liquidity in the banking system.
The 8.40 per cent government security maturing in 2024 dropped to Rs 101.1625 from Rs 101.580 previously, while its yield rose to 8.22 per cent from 8.16 per cent.
The 8.60 per cent government security maturing in 2028 fell to Rs 102.4250 from Rs 102.9175, while its yield climbed to 8.30 per cent from 8.24 per cent.
The 8.83 per cent government security maturing in 2023 also dipped to Rs 103.18 from Rs 103.57, while its yield moved up 8.32 per cent from 8.26 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 lower at Rs 99.86, Rs 99.63, Rs 98.9450 and Rs 100.05, respectively.
The overnight call money rates resumed higher at 8.05 per cent from yesterday's close of 7.50 per cent and moved in a range of 9.00 per cent and 7.50 per cent before closing at 7.80 per cent.
Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 156.88 billion in 36-bids at the 1-day repo auction at a fixed rate of 8.00 per cent today morning, while it sold securities worth Rs 42.89 billion from 21-bids at the 1-day reverse repo auction at a fixed rate of 7.00 per cent as on November 11.