Call rates close flat at 5.50-5.60 pc; Bonds subdued

Mumbai, June 1 (UNI) The call money rates 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 9,777.27 crore each, on the weighted average rate of 5.54 per cent.

In the first one day auction in the morning, RBI absorbed Rs 38,385 crore through 32 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 opened lower and the situation persisted during the day on account of apprehension over auction of Rs 10,000 crore Bond today.

The 11 year 8.07 per cent 2017 bond price closed at Rs 102.00, while the yield increased by one basis point to 7.79 per cent.

UNI VS MJ AG1730