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Tuesday, Jul 04, 2006


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Money & Banking - Debt Market
Bond market bearish

Our Bureau

Mumbai, July 3

In the bond market, traded volumes were low at around Rs 150 crore. However, there was some selling during the second half of the day, said dealers. "The market continues to be bearish. There is very little buying interest for the 10-year benchmark paper, with prices having fallen from the issue price of Rs 100 to Rs 96.3," said a dealer at a private bank. If the auctioned amount is reduced in the upcoming G-sec auction, prices could rise, said market participants. The 9.39 per cent-5 year-2011 paper opened at Rs 107.02 (7.67 per cent YTM) and closed at Rs 106.88 (7.70 per cent YTM). The 7.37 per cent-8 year-2014 paper opened at Rs 96.28 (8.01 per cent YTM) and ended at Rs 96.15 (8.04 per cent), almost unchanged from Friday's close at Rs 96.1 (8.05 per cent YTM).

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