Government bond prices ended up today because the sharp fall in international crude oil prices provided some relief to the investors, dealers said.

Bonds end up as oil drops

Business Standard

The yield on bonds are likely to ease further, given the slide in global crude oil prices and lower-than-expected inflation numbers.

Bond yields to ease on lower inflation numbers

Freddie Mac, the second-largest US mortgage-finance company, registered with the US Securities and Exchange Commission, removing the biggest obstacle to selling common stock and increasing its mortgage holdings.

Freddie Mac registers with SEC

The prices of government papers rallied by 20-80 paise across maturities. According to dealers, the market is of the view that inflation has peaked and henceforth the rise will be not more than 5-6 ba

Gilts rally on lower inflation expectations

&nbsp;The market witnessed lacklustre trading interest. According to dealers, the market had overbought the ten-year security on Monday and some dealers were offloading the stock so as to cut down losses ahead of the ten-year benchmark paper auction on Thursday.

Gilts witness listless activity

The spot rupee breached the crucial barrier of 42 to touch an intraday high of 41.85 following heavy dollar selling by foreign banks on behalf of their custodian (foreign institutional investor) clients.

Rupee breaches 42-mark

Companies may go slow on expansion.
The Reserve Bank of India&rsquo;s (RBI) move to raise CRR and repo rates and lock up more cash available with banks, may dent Corporate India&rsquo;s profits and

Money just got more expensive

After surprising banks and companies with further monetary tightening, Y V Reddy explains why he is putting inflation before growth. Excerpts:
How do you see the inflation curve moving over the

Mission: Affordable dal-chawal

MEASURES ANNOUNCED

    Repo Rate increased by 50 bps from 8.5 per cent to 9 per cent
    CRR to be hiked by 25 bps to 9 per cent with effect from August 30, 2008
    Bank Rate kept unchanged at 6

MONETARY POLICY REVIEW: In 2 minutes

Banks appear set to increase lending rates by around 50 basis points. But deposits rates may go up by a smaller magnitude.
The asset-liability committees (Alco) have already got into the act with

Banks to raise rates, lower growth targets

The yield curve turned negative, with the 364-day T-bill (benchmark for the one -year paper) at 9.55 per cent and the 10-year benchmark paper at 9.32 per cent.
Dealers said the Reserve Bank of

Rate hike hits G-sec; rupee rises to 42.35

Liquidity: $ inflow likely Rising crude oil prices and their impact on short-term credit requirement of oil companies will be the major driver for liquidity this week.

Market hinges on oil firms' credit demand

Liquidity: Abundant times
The system is back to a situation of surplus on the liquidity front, after being in deficit mode last week.

Money supply back in surplus

Naina Lal Kidwai, Group General Manager and Country Head for HSBC India, does not seem to be too perturbed about the slowdown or the rising delinquency levels.

`There is demand for funds`

Liquidity: Bearishness
Though the system is surplus with liquidity, the sentiment remains bearish.

Fears of fuel price hike push calls up

The rupee extended Wednesday&#39;s fall against the dollar today on persistent demand for the greenback from large state-run oil companies and other importers.

Rupee slips on dollar demand

Liquidity: Under strain The advance tax payments will be major concern for banks and take a toll on the liquidity situation.

Tight fund flows may impact gilts, bonds

G-sec: Under pressure
The government securities market is reeling under bearish sentiment apprehending monetary measures such as a hike in CRR or repo rate hike by the Reserve Bank of India prompted by high crude prices.

Fears of monetary measures affect fund movement

Even as the system is comfortable with liquidity, banks are extremely cautious about lending in the money market.

CRR hike fears keep bankers off market

&nbsp;The usual lenders, the public sector banks, were absent in the money market. According to dealers, most banks are flush with funds, but are wary of lending on fears of liquidity tightness in the coming weeks.

Liquidity fears haunt markets

The repo rate hike led to aggressive selling of government securities (G-sec) by banks and mutual funds on Thursday to rebalance the portfolio and purchase the paper at lower prices.

Repo hike leads banks, MFs to sell gilts

Financial Analysis: Find the Latest Financial News Analysis & Research Updates from all top sources for the Indian Finance industry on Business Standard.

Finance News Analysis, Financial Analysis and Research | Business Standard

Find the Latest Financial News Analysis & Research Updates from all top sources for the Indian Finance industry on Business Standard.

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