Bonds slip, call rates finish higher

Government bonds (G-secs) slipped on selling pressure from banks and corporates, while the overnight call money rate remained higher at the money market due to persistent demand from borrowing banks amid tight liquidity in the banking system.
The 7.59 per cent government security maturing in 2026 fell to Rs 100.7650 from Rs 100.92 previously, while its yield gained to 7.48 per cent from 7.45 per cent.
The 7.88 per cent government security maturing in 2030 declined to Rs 100.87 from Rs 101.0650 previously, while its yield edged-up to 7.77 per cent from 7.75 per cent.
The 7.59 per cent government security maturing in 2029 eased to Rs 99.34 from Rs 99.51, while its yield moved up to 7.67 per cent from 7.65 per cent.

The 8.27 per cent government security maturing in 2020, the 7.68 per cent government security maturing in 2023 and the 7.72 per cent government security maturing in 2025 also quoted lower at Rs 103.1450, Rs 100.49 and Rs 100.46, respectively.
The overnight call money rates ended higher at 6.35 per cent from Tuesday's level of 6.25 per cent. It resumed higher at 6.60 per cent and moved in a range of 6.65 per cent and 6.05 per cent.
Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 52.81 billion in 9-bids at the overnight repo operation at a fixed rate of 6.50 per cent as on today, while it sold securities worth Rs 31.03 billion from 28-bids at the overnight reverse repo operation at a fixed rate of 6.00 per cent as on May 17.