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This is an archive article published on September 13, 2012

Government bonds recover on good demand,call rate finish lower

G-Sec recovered on good buying support from banks and corporates.

The government securities (G-Sec) recovered on good buying support from banks and corporates,while call rates declined at the overnight call money market here today due to lack of demand from borrowing banks.

The 8.33 per cent G-Sec maturing in 2026 climbed to Rs 100.21 from Rs 99.89 yesterday,while its yield declined 8.30 per cent from 8.34 per cent.

The 8.15 per cent G-Sec maturing in 2022 surged to Rs 99.8150 from 99.6550,while its yield moved down to 8.17 per cent from 8.20 per cent.

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The 8.19 per cent G-Sec maturing in 2020 also rose to Rs 99.5850 from 99.4450,while its yield eased to 8.26 per cent from 8.29 per cent.

The 8.97 per cent G-Sec maturing in 2030,the 8.07 per cent maturing in 2017 and the 9.15 per cent maturing in 2024 also quoted higher at Rs 104.01,Rs 99.550 and Rs 105.94,respectively.

The Overnight call money rate ended lower at 8.00 per cent,it moved in a range of 8.10 per cent and 7.90 per cent.

The Reserve Bank of India (RBI) under the Liquidity Adjustment Facility (LAF) purchased securities worth Rs 322.35 billion in 16 bids at the one-day repo auction at a fixed rate of 8.00 per cent.

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