Bonds slip, call rate ends lower

The government bond prices slipped on the back of fresh selling pressure from banks and corporates amidst profit-taking by market participants.
The Overnight call money rates also ended lower due to lack of demand from borrowing banks amidst tight liquidity conditions in the banking system.
The 8.60 per cent government security maturing in 2028 declined to Rs 99.42 from Rs 99.58, while its yield moved up to 8.67 per cent from 8.65 per cent.
The 8.40 per cent government security maturing in 2024 dropped to Rs 99.18 from Rs 99.3050, while yield firmed up to 8.52 per cent from 8.50 per cent.

The 8.83 per cent government security maturing in 2023 fell to Rs 100.83 from Rs 100.99, while yield gained to 8.69 per cent against 8.67 per cent.
The 8.27 per cent government security maturing in 2020, the 8.12 per cent government security maturing in 2020, the 8.28 per cent government security maturing in 2027 and the 7.28 per cent government security maturing in 2019 were also quoted lower at Rs 98.50, Rs 97.3250, Rs 96.05 and Rs 95.02, respectively.
The overnight call money rates ended lower at 7.05 per cent from 8.25 per cent yesterday. It moved in a wide range of 8.10 per cent and 6.90 per cent.

Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 116.10 billion in 34-bids at the one day repo auction at a fixed rate of 8.00 per cent, while it sold securities worth Rs 26.11 billion from 10-bids at the 1-day reverse repo auction at a fixed rate of 7.00 per cent, yesterday evening.