New 10-year G-sec Paper yield closes at 7.88%
The yield on 10-year benchmark federal paper, 8.40% GS 2024, increased
by 06 basis points (bps) to close at 8.09% compared with 8.03% close in
the previous trading session and the new 10-year benchmark federal
paper, 7.72% GS 2025, yield also increased by 06 bps to end at 7.88%,
compared with 7.82% close in the previous trading session. The total
trading volume on central bank's gilts trading platform stood at Rs
29,280 crore.
Bond yield on 10 year paper increased to the highest level since
November, and new 10 year paper also increased amid rise in oil prices
and weak monsoon, raising concerns of rise in inflation.
The weighted average rate in the overnight call money increased to 7.17%
compared with 7.00% in previous session. The call money rate hovered in
the range of 5.75% to 7.35% with the volume of Rs 11,975.87 crore.