NSE REPORT
The wholesale debt market segment of the National Stock Exchange witnessed hectic trading with deals worth Rs 392.51 crore being struck yesterday. The call rates came down to 4 per cent as banks took positions in securities.
Dealers said banks are rushing forward to buy securities before the 0.5 percentage point cut in the Cash Reserve Ratio cut on January 4.
Prices of gilts with a residual maturity of less than five years gained 15-20 paise in heightened trading.
Hectic activity was noticed in the zero-coupon security maturing in 1999 and 2000. Both these securities witnessed active trading. The price of the zero-coupon security maturing in 1999 gained 20 paise to Rs 77.70 on in intra-day trading. The paper was traded to the tune of Rs 85 crore. Most of the deals that were struck are to be settled on January 4, the day when the CRR cut takes effect.
The price of the zero-coupon security maturing in 2000 also gained by 15 paise. It increased to Rs 63.50 from Rs 63.34 on Wednesday.
The newly issued 13.40 per cent central government security maturing in 1999 saw the maximum rise with the price rising to Rs 101.05 after opening the day at Rs 100.78.
The treasury bills saw moderate activity and once again the 364 day treasury bills dominated trades.
