Call money ends at ten year low at 0.30-0.50 per cent

Mumbai, June 5 (UNI) Call money rates eased further and steadied towards a 10 year low to close at 0.30-0.50 per cent today, compared to the previous close of 0.40-0.60.

The impending outflows look unlikely to deter the liquidity situation in the market. Excess of supply than demand in the market was well evident from the reverse repo auction which received bids worth Rs 1,02,845 crore, dealers opined.

Viewing the current liquidity situation in the money market, inter-bank rates are expected to trade in the comfortable zone.

However, at the LAF window the RBI only accepted 81 bids worth Rs.2,997 crore at the 1-day reverse repo auction. Not a single bid was received at the 1-day repo auction.

At the CBLO segment, 185 bids worth Rs.14,782 crore were traded in the range of 0.01-0.15 per cent, the dealers added.

UNI