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Call rates edge lower from previous close; but more or less in line with repo level

21 Nov 2014 Evaluate

Interbank call rates were trading lower at 7.95/8.00% against Thursday’s close of 8.00/8.05%%, but more or less in with the repo level as banks continued to demand more for fulfilling their product cycle requirements, in order to avoid the volatility of rates going further.

The banks via Liquidity Adjustment Facility (LAF) borrowed Rs 5709 crore through repo auction on November 21, 2014, while banks via LAF facility borrowed Rs 8861 crore through repo window and parked Rs 3536 crore through reverse repo auction on November 20, 2014.

The overnight borrowing rates touched a high and low of 8.05% and 7.10% respectively.

According to the Clearing Corporation of India (CCIL), the weighted average rate (WAR) in the call money market was at 7.99% on Friday and total volume stood at Rs 27326.17 crore, so far.

As per CCIL data, WAR in the CBLO (Collateralized Borrowing and Lending Obligation) market was at 7.91% on Friday and total volume stood at Rs 39433.55 crore, so far.

The indicative call rates which closed 8.00%/8.05% on Thursday 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. 

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