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Money & Banking - Govt Bonds
Bond prices fall on excess cash

Our Bureau

Mumbai, June 18

The bond prices fell by about 55 paise and the yields went up by 8 basis points backed by the surplus cash in the system. The yields on the 10-year paper ended at 8.2 per cent against the previous close of 8.28 per cent. "The markets rallied followed by the excess liquidity in the system and the bullish cut-off from auctions," said a dealer with a private bank. The total traded volumes on the order matching system were Rs 7,020 crore (Rs 4,915 crore). The 7.49 per cent 10-year-paper opened at Rs 95.15 (8.22 per cent YTM) and closed at Rs 95.26 (8.2 per cent YTM) against Friday's close of Rs 94.71 (8.28 per cent YTM). The 8.07 per cent 10-year-paper opened at Rs 99.70 (8.11 per cent YTM) and closed at Rs 99.76 (8.11 per cent YTM) against the previous close of 99.50 (8.14 per cent YTM).

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