Markets

Bonds recover, call rates turn higher

Mumbai: Government bonds (G-Secs) recovered following fresh demand from corporates and banks, and the overnight call money rates also turned higher due to good demand from borrowing banks amid tight liquidity in the banking system.

The 7.17 per cent 10-year benchmark bond maturing in 2028 rose to Rs 96.83 from Rs 96.4825, while its yield declined to 7.63 per cent from 7.68 per cent.

The 6.79 per cent government security maturing in 2027 gained to Rs 93.35 from Rs 93.03, while its yield softened to 7.82 per cent from 7.87 per cent.

The 6.68 per cent government security maturing in 2031 climbed to Rs 90.0050 from Rs 89.64, while its yield fell to 7.90 per cent from 7.94 per cent.

The 7.80 per cent government security maturing in 2021, the 8.20 per cent government security maturing in 2022 and the 6.84 per cent government security maturing in 2022 were also quoted higher to Rs 101.75, Rs 102.85 and Rs 97.81 respectively.

The overnight call money rates finished higher at 5.95 per cent from it's Wednesday's level of 5.80 per cent. It resumed higher at 6.00 per cent and moved in a range of 6.05 per cent and 5.70 per cent.

Meanwhile, Reserve Bank of India, under the Liquidity Adjustment Facility, purchased securities worth Rs 37.00 billion in 6-bids at the overnight repo operations at a fixed rate of 6.00 per cent as on today, while it sold securities worth Rs 144.63 billion in 47-bids at the overnight reverse repo auction at a fixed rate of 5.75 per cent as on March 14.

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