Bonds higher on good demand, call rate steady

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PTI: Mumbai, Feb 20 2013, 22:50 IST
The Government securities (G-Sec) surged on sustained demand from banks and corporates, while the call money rates ended steady at the overnight call money market here on Wednesday as demand from borrowing banks matched supplies.

The 8.33 per cent G-Sec maturing in 2026 rose to Rs 103.6375 from Rs 103.34 previously, while its yield declined to 7.88 per cent from 7.92 per cent.

The 8.15 per cent G-Sec maturing in 2022 shot up to Rs 102.24 from Rs 102.1050, while its yield edged down to 7.80 per cent from 7.82 per cent.

The 8.20 per cent G-Sec maturing in 2025 also climbed to Rs 102.5150 from Rs 102.34, while its yield eased to 7.88 per cent from 7.90 per cent.

The 8.07 per cent G-Sec maturing in 2017, the 8.97 per cent maturing in 2030 and the 8.12 per cent maturing in 2020 also quoted higher at Rs 100.8750, Rs 108.80 and Rs 101.60 respectively.

The Overnight call money rate finished steady at 7.95 per cent. It moved in a range of 7.95 per cent and 7.75 per cent.

The Reserve Bank of India (RBI) under the Liquidity Adjustment Facility (LAF) purchased securities worth Rs 1,222.70 billion in 34 bids at the 1-day repo auction at a fixed rate of 7.75 per cent, while it sold securities worth Rs 0.40 billion in one-bid at the one-day reverse repo auction at a fixed rate of 6.75 per cent in the evening auction.

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