Bonds trade bearish, call rate declines

The government bond (G-Sec) prices traded bearish due to selling pressure from banks and corporates and the overnight call money rate also finished lower due to lack of demand from borrowing banks amid ample liquidity in the banking system.
The 7.72 per cent 10-year benchmark bond maturing in 2025 moved down to Rs 99.63 from Rs 99.67, while its yield held stable to 7.77 per cent.
The 7.88 per cent government security maturing in 2030 dropped to Rs 99.80 from Rs 99.8950, while its yield inched up to 7.90 per cent from Rs 7.89 per cent.
The 7.68 per cent government security maturing in 2023 dipped to Rs 98.6225 from Rs 98.6700, while its yield edged up to 7.91 per cent from 7.90 per cent.

The 8.40 per cent government security maturing in 2024, the 7.35 per cent government security maturing in 2024 and the 8.12 per cent government security maturing in 2020 also eased to Rs 102.8450, Rs 96.3900 and Rs 100.6500 respectively.
The overnight call money rates finished lower at 6.30 per cent. It resumed higher at 7.30 per cent and moved in a wide range of 7.50 per cent and 6.00 per cent.
Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 193 billion in 39-bids at the overnight repo auction at a fixed rate of 7.25 per cent today morning, while it sold securities worth Rs 44.60 billion from 27-bids at the overnight reverse repo auction at a fixed rate of 6.25 per cent yesterday evening.