Mss Bonds Will Infuse Sufficient Liquidity Into The System - Dec 11, 2008

Bond prices improved around 54 paise on hopes of further cuts in repo and reverse repo rates by the RBI in January. The buyback of MSS bonds will infuse sufficient liquidity into the system. Total traded volumes on the order matching system were at Rs 15,880 crore. The 8.24 per cent-10 year-2018 paper opened at Rs 110.7 (6.68 per cent YTM) and touched an intra-day high of Rs 111.37 (6.59 per cent YTM). It closed at Rs 111.12 (6.62 per cent YTM), as against the previous close of Rs 110.68 (6.69 per cent YTM). The 7.94 per cent-13 year-2021 paper opened at Rs 109.10 (6.84 per cent YTM) and closed at Rs 110 (6.74 per cent YTM).