Government bonds react downward, call rates end higher

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PTI: Mumbai, Jan 15 2013, 19:36 IST
Government bonds reacted downwards on selling pressure from banks and corporates, while overnight money rates ended higher at the call money market here today on good demand from borrowing banks.

The 8.15 per cent government security maturing in 2022 slipped to Rs 102.08 from Rs 102.29 previously, while its yield moved-up at 7.83 per cent from 7.80 per cent.

The 8.33 per cent government security maturing in 2026 dropped to Rs 103.54 from Rs 103.7425, while its yield gained to 7.90 per cent from 7.87 per cent.

The 8.20 per cent government security maturing in 2025 dipped to Rs 102.53 from Rs 102.74, while its yield edged up at 7.88 per cent to 7.85 per cent.

The 8.19 per cent government security maturing in 2020, the 8.97 per cent government security maturing in 2030 and 8.07 per cent government security maturing in 2017 were also quoted lower at Rs 101.63, Rs 109.35 and Rs 100.95 respectively.

The overnight call money rate finished higher at 8.05 per cent from 8.00 per cent yesterday. It moved in a range of 8.15 per cent and 7.95 per cent.

The Reserve Bank of India under the Liquidity Adjustment Facility purchased securities worth Rs 841.20 billion in 26 bids at the one-day repo auction at a fixed rate of 8.00 per cent, while sold securities worth Rs 0.65 billion in two-bids at the 1-day reverse repo auction at a fixed rate of 7 per cent in the evening auction.

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