Call rates at 6.50 pc; bond prices fall rise in inflation

Mumbai, March 3 (UNI) The call rates closed near the reverse rate closing at 6.50 per cent, said a dealer in the money market.

At the three-day repo auction, the Reserve Bank of India injected Rs 1,140 crore through five bids received at 6.50 per cent rate, as per the data released by the apex bank.

In the call money market, RBI's borrowings and lending on Monday were of Rs 10,480.16 crore each at weighted average rate of 6.47 per cent.

Bond prices were down today due to the rise in inflation to 4.34 per cent for the week ended on Feb 18 from 4.02 per cent during the previous week.

The actively traded 8.07 per cent 2017 bond price dropped to Rs 104.57 while the yield rose up to 7.45 per cent from 7.41 per cent.

UNI RRP MJ AW1926