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Money & Banking - Govt Bonds
Bond prices up on fresh buying

Mumbai, July 30

Bond prices rose 50 paise and the yield fell by seven basis points backed by fresh buying by banks. “The liquidity conditions have left a level of comfort among market participants,” said a dealer with a private bank. Market participants are, however, speculating on a possible hike in the Cash Reserve Ratio. Total traded volumes on the order matching system were Rs 7,515 crore (Rs 4,095 crore). The yield on the 10-year paper closed at 7.76 per cent (7.83 per ce nt). The 7.49 per cent-10 year-2017 paper opened at Rs 97.70 (7.83 per cent YTM) and closed at Rs 98.18 (7.76 per cent YTM) on Monday against the previous close of Rs 97.67 (7.83 per cent YTM). The 6.65 per cent-2 year-2009 paper opened at Rs 99.21 (7.15 per cent YTM) and closed at Rs 99.33 (7.07 per cent YTM) against the previous close of Rs 99.17 (7.17 per cent YTM). —

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