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This is an archive article published on October 18, 2012

Government bonds surge on good demand,call rate firm up

The 8.15 per cent G-Sec maturing in 2022 climbed to Rs 100.0750 from Rs 99.97 previously.

The government securities (G-Sec) rose on good demand from banks and corporates,while call rates firmed up at the overnight call money market on sustained demand from borrowing banks.

The 8.15 per cent G-Sec maturing in 2022 climbed to Rs 100.0750 from Rs 99.97 previously,while its yield eased 8.14 per cent from 8.15 per cent.

The 8.33 per cent G-Sec maturing in 2026 advanced to Rs 100.7650 from 100.74,while its yield moved down to 8.23 per cent from 8.24 per cent.

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The 8.19 per cent G-Sec maturing in 2020 also rose to Rs 100.07 from Rs 100.00,while its yield went down to 8.17 per cent from 8.19 per cent.

The 8.97 per cent G-Sec maturing in 2030,the 8.07 per cent maturing in 2017 and the 8.20 per cent maturing in 2025 also quoted higher at Rs 106.07,Rs 99.8150 and Rs 99.9850,respectively.

The Overnight call money rate finished higher at 8.12 per cent from 8.10 per cent yesterday,it moved in a range of 8.15 per cent and 7.95 per cent.

The Reserve Bank of India (RBI) under the Liquidity Adjustment Facility (LAF) purchased securities worth Rs 1,016.35 billion in 37 bids at the one-day repo auction at a fixed rate of 8 per cent.

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