Call rates close lower at 7.70-7.80 pc

Mumbai, Jan 24 (UNI) Call money rates closed low at 7.70-7.80 per cent as against their previous close of 7.90-8.00 per cent, dealers said.

It was felt that there may be some pressure on the call rates as a few banks, falling short of their mandatory requirements, could borrow in excess.

However, the prevalent supply was able to serve their demand comfortably as a result of which the inter bank rates continued to trade soft.

At the LAF window, the RBI accepted eight bids worth Rs 285 crore at the 3-day reverse-repo auction while 26 bids, amounting to Rs 12,080 crore, were received at its 3-day repo auction.

The CBLO segment saw 352 bids, worth Rs 18,986 crore, getting transacted in the range of 6.50-7.75 per cent.

With a few state run banks reported to have bought dollars, the liquidity is expected to improve gradually. However, the new fortnight and the subsequent fresh borrowing requirements is likely to test the inter bank rates, which are likely to harden marginally, dealers added.

UNI