Gilt portfolio may depreciate further

The 7.37 per cent 2014 bond nose-dived by 175 paise to Rs 101.10/20 and yield touched 7.19 per cent and the actively traded 8.07 per cent 2017 paper plummetted by 190 paise to Rs 105.75/106.00.

The yields in government securities market rose to record peaks on the back of relentless selling and gilts across the spectrum tumbled by over 100-220 paise, following the overnight announcement by the Centre of a hike in domestic fuel prices, said dealers.

Newly active 6.65 per cent 2009 bond tumbled by 138 paise to Rs 99.55/65, 7.40 per cent 2012 stock slipped by 105 paise to Rs 191.64/68 and the 7.27 per cent 2013 gilt dipped by 157 paise to Rs 100.28/30.

At the longer end, the 6.28 per cent 2018 gilt crashed by 205 paise to Rs 90.75/91.25, the 6.05 per cent 2019 stock tumbled by 180 paise to Rs 88.00/25 and the 8.35 per cent 2022 paper plunged by 205 paise to Rs 108.50/109.00.

The rupee closed at 45.18 per dollar, barely changed from Thursday’s 45.2, the highest finish in five months.