MUMBAI: Government bonds (G-Secs) advanced further following heavy demand from corporates and banks, and the interbank call rates also ended higher due to rising demand from borrowing banks amid tight liquidity conditions in the banking system.The 7.59 per cent government security maturing in 2026 surged to Rs 104.20 as compared to Rs 104.1325 previously, while its yield inched down to 6.97 per cent from 6.98 per cent.The 7.59 per cent government security maturing in 2029 climbed to Rs 104.42 from Rs 104.3075, while its yield edged down to 7.05 per cent from 7.07 per cent.The 6.97 per cent government security maturing in 2026 firmed up to Rs 101.2075 from Rs 101.1350, while, its yield softened to 6.80 per cent from 6.81 per cent.The 7.61 per cent government security maturing in 2030, the 7.68 per cent government security maturing in 2023 and the 7.88 per cent government security maturing in 2030 were also quoted higher at Rs 105.23, Rs 104.10 and Rs 106.8550 respectively.The overnight call money rates finished higher at 6.48 per cent from Thursday's level 6.45 per cent. It resumed higher at 6.55 per cent and moved in a range of 6.55 per cent and 6.40 per cent.Meanwhile, the Reserve Bank of India (RBI), under the Liquidity Adjustment Facility (LAF), purchased securities worth Rs 29.46 billion in 6-bids at the 3-days repo auction at a fixed rate of 6.50 per cent as on today, while its sold securities worth Rs 29.33 billion from 20-bids at the overnight reverse repo auction at a fixed rate of 6.00 per cent as on September 22.

Source: Economic Times September 23, 2016 12:56 UTC