Call money rates remains steady

Mumbai, Feb 6 (UNI) Call money market remained steady in the range of 7.85/7.80 per cent almost stagnant from the previous levels.

The Call rates opened at 7.80-7.90 per cent. The rates remained steady as the sentiments were triggered by the Central Bank raising its repo rate by 25 basis points to 7.50 per cent, dealers said.

According to traders, the investors were also cautious about inflation in the coming weeks, after a rise in global oil prices in the last few days.

The inflation rose 6.11 per cent in the 12 months to Jan 20, little below a two-year high. Dealers are attributing higher inflation rate to the rise in prices of manufactured products and foods.

Indian bond yields rose today ahead of a 90-billion-rupee (USD 2 billion) federal bond auction on Friday.

The yield on the benchmark 10-year bond was at 7.73 per cent up from the previous close of 7.71 per cent.

UNI