• Investment World
• eWorld
• Brand Line
• Mentor
• Life
• Canvas
• Praxis
• Urban Pulse
• Brand Quest
• The New Manager

Stocks

• Quotes
• SE Diary
• Scoreboard
• Open-End Mutual Fund

Cross Currency

• Rates
  
  

Shipping

• Ports
  
  

Archives

• Yesterday
• Datewise
• Resources
• In Focus
• In Depth

Group Sites

• The Hindu
• The Hindu ePaper
• Business Line
• Business Line ePaper
• Sportstar
• Frontline
• The Hindu eBooks
• The Hindu Images

Our Bureau

Mumbai, Feb. 28

Bond prices crashed by around 70 paise as the government borrowing for the next fiscal is slightly higher than that in the current fiscal. The budgeted net borrowing through the auction of dated securities (excluding Treasury Bills) is Rs 1.09 lakh crore in 2007-08, against Rs 1.07 lakh crore this year. Market participants had expected a reduction of Rs 10,000 crore in the Government borrowing at Rs 97,000 crore. Total traded volumes on the order matching system were Rs 1,965 crore (Rs 3,125 crore). Prices also tumbled as traders were anticipating a cancellation of the Rs 8,000-crore auction in March. However, the revised budget estimates of the government borrowing indicate that the auction is on track. Market participants expect the 10-year paper to be around 8.1 per cent by March, post the auction. The 8.07 per cent-10 year-2017 benchmark paper opened at Rs 101.40 (7.86 per cent YTM) and closed at Rs 100.55 (7.99 per cent YTM), against Tuesday's close at Rs 101.21 (7.89 per cent YTM). The 7.37 per cent-7 year-2014 paper opened at Rs 97.15 (7.9 per cent YTM) and closed at Rs 96.63 (7.99 per cent YTM), against the previous close at Rs 96.98 (7.93 per cent YTM).

More Stories on : Govt Bonds

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Reverse mortgage of property to help senior citizens

Copyright © 2007, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line