Date:11/11/2006 URL: http://www.thehindubusinessline.com/2006/11/11/stories/2006111102540600.htm

Back Bond prices range-bound

Our Bureau

Mumbai, Nov. 10

Bond prices were range-bound and volumes were thin, though they improved towards close. While bond prices opened weak on the upward movement in oil prices, the better than expected inflation figures helped the market, said dealers. Bond prices gained by about 5 paise during day trade. Total traded volumes on the order matching system were Rs 3,055 crore (Rs 3,510 crore).

The 7.59 per cent 10-year 2016 paper opened at Rs 99.86 (7.60 per cent YTM) and closed at Rs 99.92 (7.6 per cent YTM) against the previous close of Rs 99.88 (7.60 per cent YTM). The 8.07 per cent 11-year 2017 paper opened at Rs 103.39 (7.58 per cent YTM) and closed at Rs 103.46 (7.57 YTM) against the previous close of Rs 103.36 (7.58 per cent YTM). "The market is likely to remain range-bound next week as well with yields on the 10-year bond being at 7.55-7.65 per cent. The only likely trigger for the market could be the auction of 10-14 year government securities worth Rs 5,000 crore, scheduled between November 17 and November 24," said the dealer.