Call money opens high at 3.00-3.50 per cent

Mumbai, Jun 12 (UNI) Call money rates opened marginally high on Tuesday at 3.00-3.50 per cent than their previous closing level of 3.00-3.25 per cent on Monday.

The bond auction and treasury bill sales are expected to suck excess money from the banking system and continue to put light pressure on the borrowing rates, dealers opined.

However, rates continue to remain well below the repo rate given the surplus liquidity in the banking system, indicated by the outstanding at the LAF reverse repo auction of Rs 54,005 crore.

Hence, today call rates are expected to be hover around the current level but could start inching up later in the week due to the advance tax payments, dealers added.

UNI