Government bonds recover on good demand, call rate ends lower

Mumbai : The Government securities (G-Sec) rose on good buying support from banks and corporates, while the call money rates ended lower at the overnight call money market here today due to lack of demand from borrowing banks.

The 8.15 per cent G-Sec maturing in 2022 rose to Rs 101.4600 from Rs 101.37 yesterday, while its yield moved down to 7.92 per cent from 7.94 per cent.

The 8.20 per cent G-Sec maturing in 2025 shot up to Rs 101.5150 from Rs 101.3350, while its yield edged down to 8.01 per cent from 8.03 per cent.

The 8.33 per cent G-Sec maturing in 2026 also surged to Rs 102.5725 from Rs 102.4150, while its yield eased to 8.01 per cent from 8.03 per cent.

The 8.07 per cent G-Sec maturing in 2017, the 8.19 per cent maturing in 2020 and the 8.97 per cent maturing in 2030 also quoted higher at Rs 100.57, Rs 100.99 and Rs 107.83 respectively.

The Overnight call money rate finished lower at 7.80 per cent from yesterday close of 7.85 per cent. It moved in a range of 7.85 per cent and 7.60 per cent.

The Reserve Bank of India (RBI) under the Liquidity Adjustment Facility (LAF) purchased securities worth Rs 583.20 billion in 31 bids at the 1-day repo auction at a fixed rate of 7.75 per cent.