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Tuesday, Sep 30, 2008
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Money & Banking - Short Term Instruments
Call rates spurt

Mumbai, Sept. 29 The inter-bank call rates closed substantially higher at 15.75-16 per cent, as against the previous close of 11-11.50 per cent. The severe liquidity crunch could also be gauged by the fact that the Reserve Bank of India injected more than Rs 90, 000 crore into the system through the repo auction.

In the two-day repo auction under the first liquidity adjustment facility (LAF), the RBI received and accepted 36 bids worth Rs 53,940 crore. There were no reverse repo bids. In the two-day repo auction under the second LAF, the RBI received and accepted 47 bids for Rs 36,135 crore. There were no reverse repo bids. In the CBLO market, there were 300 trades amounting to Rs 12,183.35 crore in the rate range of 9.35-16 per cent. - Our Bureau

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