Call rates at 5.50-5.60 pc, bond prices close lower

Mumbai, May 24 (UNI) The call money rate today closed flat in the range of 5.50 to 5.60 per cent, as comfortable liquidity situation prevailed in the money market.

In the call money market operations yesterday, Reserve Bank of India (RBI) had borrowings and lendings worth Rs 8,900.28 crore each on the weighted average rate of 5.55 per cent.

In the reverse repo auctions, the central bank absorbed Rs 65,000 crore through the daily auctions.

In the first one day auction in the morning, RBI absorbed Rs 35,675 crore through 29 bids received at the rate of 5.50 per cent.

In the second one day auction in the afternoon, the bank absorbed Rs 29,325 crore through 40 bids received at the rate of 5.50 per cent.

RBI did not inject any money in the market through repo auctions.

The bond prices came down taking a cue from the equity markets which closed 250 points lower.

The 11-year 8.07 per cent 2017 bond price closed seven paise down at Rs 102.65, while the yield went up by one basis point to 7.70 per cent.

UNI VS GK VKG1804