Bonds surges, call rates remain lower

Government bonds (G-Secs) surged further on sustained buying support from banks and corporates while, the overnight call money rate remained lower at the money market due to lack of demand from borrowing banks amid ample liquidity in the banking system.
The 8.40 per cent government security maturing in 2024 climbed to Rs 104.7275 from Rs 104.50 previously, while its yield eased to 7.69 per cent.
The 8.60 per cent government security maturing in 2028 rose to Rs 107.23 from Rs 106.8250, while its yield fell to 7.72 per cent from 7.77 per cent.
The 8.27 per cent government security maturing in 2020 advanced to Rs 102.53 from Rs 102.33, while its yield moved down to 7.68 per cent from 7.73 per cent.

The 8.15 per cent government security maturing in 2026 also gained to Rs 104.0475 from Rs 103.87, while its yield went down 7.62 per cent from 7.65 per cent.
The 8.83 per cent government security maturing in 2026, the 8.28 per cent government security maturing in 2027 and the 7.16 per cent government security maturing in 2023 were also quoted higher at Rs 106.7025, Rs 104.1350 and Rs 96.25, respectively.
The overnight call money rates ended lower at 7.75 per cent from yesterday's closing level of 7.85 per cent. It resumed higher at 8.08 and moved in a range of 8.25 per cent and 7.55 per cent.

Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 209.26 billion in 55-bids at the 1-day repo auction at a fixed rate of 7.75 per cent as on today, while it sold securities worth Rs 13.85 billion from 12-bids at the 1-day reverse repo auction at a fixed rate of 6.75 per cent as on Jan 20.