Interbank call rates were trading higher at 8.00/8.05% versus its Tuesday’s close of 7.45/7.55%, as demand remained higher at the start of fresh reporting cycle. Nevertheless, comfortable liquidity condition of banking system, which is reflected by the amount they have parked via reverse repo window, kept the call rates below the repo level.
The banks via Liquidity Adjustment Facility (LAF) borrowed Rs 9512 crore through repo auction on May 21, 2014, while it borrowed Rs 14480 crore through repo auction and parked Rs 7708 crore via reverse repo window on May 20,2014.
The overnight borrowing rates touched a high and low of 8.05% and 7.90% respectively.
According to the Clearing Corporation of India (CCIL), the weighted average rate (WAR) in the call money market was at 7.92% on Wednesday and total volume stood at Rs 21816.07 crore, so far.
As per CCIL data, WAR in the CBLO (Collateralized Borrowing and Lending Obligation) market was at 7.98% on Wednesday and total volume stood at Rs 35037.35 crore, so far.
The indicative call rates which closed 7.45/7.55% on Tuesday were contributions made from Andhra Bank, AXIS Bank, Bank of America, Bank of Baroda, Bank of India, Canara Bank, J P Morgan Chase, Citibank N.A., Corporation Bank, Credit Agricole Bank, Indusind Bank, ICICI Bank, ICICI Securities, IDBI Bank, Jammu and Kashmir Bank, Punjab National Bank, RBS, Societe Generale, Standard Chartered, so far.
