Call rates hover near repo rate; Bond prices range bound
Mumbai, May 10 (UNI) The call money rate closed in the range of 5.50 to 5.60 per cent on the back of enough liquidity in the money market.
In the call money market operations on May 9, the Reserve Bank of India had borrowing and lending worth Rs 11106.48 crore each at the weighted average rate of 5.58 per cent.
In the reverse repo auctions, the central bank absorbed Rs 64,075 crore through the daily auctions.
In the first auction in the morning, the central bank absorbed Rs 24,115 crore through three bids received at the rate of 5.50 per cent.
In the second auction in the afternoon, the central bank absorbed Rs 39,960 crore through 44 bids received at the rate of 5.50 per cent.
The central bank did not inject any money in the market through repo auctions.
Bond prices were range bound as the market awaited US Federal Reserve meeting on interest rate hike. The 7.38 per cent 2018 bond price ended unchanged at Rs 99.50.
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