Government bonds drops further, call rate recovers

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PTI: Mumbai, Mar 13 2013, 21:02 IST
Government bonds dropped further on sustained selling pressure from banks and corporates, while overnight call money rates recovered at the call money market here today due to fresh demand from borrowing banks.

The 8.15 per cent government security maturing in 2022 declined to Rs 101.5750 from Rs 101.6750 yesterday, while its

yield inched-up to 7.90 per cent from 7.89 per cent.

The 8.20 per cent government security maturing in 2025 fell to Rs 101.6250 from Rs 101.76, while its yield edged-up to 7.99 per cent from 7.98 per cent.

The 8.33 per cent government security maturing in 2026 slid to Rs 102.75 from Rs 102.8375, while its yield also looked up to 7.99 per cent from 7.98 per cent.

The 8.19 per cent government security maturing in 2020, the 7.17 per cent government security maturing in 2015 and 8.12 per cent government security maturing in 2020 were also quoted lower at Rs 101.27, Rs 98.79 and Rs 101.50, respectively.

The overnight call money rate finished higher at 7.90 per cent from overnight closing level of 7.80 per cent. It moved in a range of 7.90 per cent and 7.60 per cent.

The Reserve Bank of India under the Liquidity Adjustment Facility purchased securities worth Rs 968.10 billion in 32 bids at the one-day repo auction at a fixed rate of 7.75 per cent and sold securities worth Rs 6.25 billion in two-bids at the 1-day reverse repo auction at a fixed rate of 6.75 per cent in the evening auction.

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