Bonds react downward, call rates ends higher

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PTI: Mumbai, Feb 05 2013, 20:56 IST
Government bonds reacted downwards on selling pressure from banks and corporates, while overnight money rates ended higher at the call money market here on Monday on good demand from borrowing banks.

The 8.15 per cent government security maturing in 2022 dropped to Rs 101.37 from Rs 101.58 last Friday, while its yield moved-up at 7.94 per cent from 7.91 per cent.

The 8.20 per cent government security maturing in 2025 dipped to Rs 101.3350 from Rs 101.52, while its yield edged up to 8.03 per cent from 8.00 per cent.

The 8.33 per cent government security maturing in 2026 slid to Rs 102.4150 from Rs 102.5975, while its yield gained at 8.03 per cent to 8.01 per cent.

The 8.07 per cent government security maturing in 2017, the 8.12 per cent government security maturing in 2020 and 8.19 per cent government security maturing in 2020 were also quoted lower at Rs 100.56, Rs 101.1450 and Rs 100.91, respectively.

The overnight call money rate finished higher at 7.85 per cent from 7.50 per cent previously. It moved in a range of 7.85 per cent and 7.00 per cent.

The Reserve Bank of India under the Liquidity Adjustment Facility purchased securities worth Rs 72,025 crore in 34 bids at the 1-day repo auction at a fixed rate of 7.75 per cent, while sold securities worth Rs 1,200 crore in two-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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