Bonds decline, call rates turn lower

Government bonds (G-Secs) declined on selling pressure from banks and corporates and the overnight call money rates also turned lower due to lack of demand from borrowing banks amid comfortable liquidity situation in the banking system.

The 6.79 per cent government security maturing in 2027 were slid to Rs 100.25 from Rs 100.3350 yesterday, while its yield inched up to 6.75 per cent from 6.74 per cent.

The 6.68 per cent government security maturing in 2031 were went-down to Rs 97.59 from Rs 97.69, while its yield edged up to 6.95 per cent from 6.94 per cent.

The 6.79 per cent government security maturing in 2029 were fell to Rs 98.09 from Rs 98.18, while its yield inched up to 7.02 per cent from 7.01 per cent.

The 7.16 per cent government security maturing in 2023, the 8.20 per cent government security maturing in 2022 and the 7.35 per cent government security maturing in 2024 were also quoted lower at Rs 101.56, Rs 105.4475 and Rs 102.36 respectively.

The overnight call money rates finished lower at 5.75 per cent from Wednesday's level 5.80 per cent. It resumed higher at 6.00 per cent and moved in a range of 6.00 per cent and 5.75 per cent.

Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 22.70 billion in 3-bids at the overnight repo operation at a fixed rate of 6.00 per cent as on today, while its sold securities worth Rs 108.44 billion from 50-bids at the overnight reverse repo auction at a fixed rate of 5.75 per cent as on October 11.

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)