Mumbai: Government bonds (G-Secs) slipped on selling pressure from banks and corporates and the overnight call money rates ended lower at the money market due to lack of demand from borrowing banks, amid ample liquidity in the banking system.
The 8.40 per cent 10-year benchmark bond maturing in 2024 dropped to Rs 103.4425 from Rs 103.61 previously, while its yield rose to 7.88 per cent from 7.86 per cent.
The 8.60 per cent government security maturing in 2028 fell to Rs 105.41 from Rs 105.5875, while its yield moved up to 7.94 per cent from 7.92 per cent.
The 8.27 per cent government security maturing in 2020 also declined to Rs 101.0750 from Rs 101.28, while its yield gained to 8.02 per cent from 7.97 per cent.
The 8.15 per cent government security maturing in 2026, the 8.83 per cent government security maturing in 2023 and the 8.12 per cent government security maturing in 2020 were also quoted lower at Rs 102.00, Rs 105.12 and Rs 100.41, respectively.
The overnight call money rates ended lower at 7.00 per cent from yesterday's closing level of 8.95 per cent. It resumed lower at 8.25 and moved in a range of 8.40 per cent and 7.00 per cent.
Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 216.62 billion in 55-bids at the 1-day repo auction at a fixed rate of 8.00 per cent today morning, while it sold securities worth Rs 144.07 billion from 22-bids at the 1-day reverse repo auction at a fixed rate of 7.00 per cent as on December 31, evening.
