Bonds surge, call rates ends higher

Government bonds (G-Secs) surged on persistent buying support from banks and corporates.
The overnight call money rate ended higher due to good demand from borrowing banks amid tight liquidity in the banking system.
The 8.40 per cent 10-year benchmark bond maturing in 2024 rose to Rs 102.85 from Rs 102.2425 previously, while its yield fell to 7.97 per cent from 8.06 per cent.
The 8.60 per cent government security maturing in 2028, climbed to Rs 104.74 from Rs 103.9550, while its yield moved down to 8.02 per cent from 8.11 per cent.
The 8.27 per cent government security maturing in 2020 also gained to Rs 101.02 from Rs 100.54, while its yield went down to 8.04 per cent from 8.15 per cent.

The 8.83 per cent government security maturing in 2023, 8.28 per cent government security maturing in 2027 and the 8.24 per cent government security maturing in 2027 were also quoted higher at Rs 104.91, Rs 101.51 and Rs 101.20, respectively.
The overnight call money rates ended higher at 8.00 per cent from yesterday's closing level of 7.25 per cent. It opened higher at 8.10 and moved in range of 8.20 per cent and 7.50 per cent.
Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 41.93 billion in 18-bids at the 1-day repo auction at a fixed rate of 8.00 per cent today morning, while it sold securities worth Rs 32.15 billion from 21-bids at the 1-day reverse repo auction at a fixed rate of 7.00 per cent as on December 1.