Call rates trade higher on Tuesday

Interbank call rates were trading at 8.20/8.30 percent, up from its 8.15/8.20 percent close on Monday on good demand from borrowing banks. Yesterday, the call money rate ended higher at 8.15 percent from last Friday’s closing level of 8.00 per cent. It moved in a range of 8.40 percent and 8.10 percent. Meanwhile, the Reserve Bank of India (RBI) in its mid-quarter monetary policy review kept the key interest rates, repo and cash reserve ratio (CRR) unchanged on rising inflation.

The banks via Liquidity Adjustment Facility (LAF) borrowed Rs 1,32,565 crore through repo window on June 19, 2012, while, the banks via LAF borrowed Rs 99,990 crore and parked Rs 35 crore via reverse repo window on June 18, 2012.

The overnight borrowing rates has touched a high of 8.12% and a low of 7.25%, so far.

According to the Clearing Corporation of India (CCIL), the weighted average rate (WAR) in the call money market was 8.09% on Tuesday and total volume stood at Rs 16,199.68 crore, so far.

As per CCIL data, WAR in the CBLO (Collateralized Borrowing and Lending Obligation) market was 8.03% on Tuesday and total volume stood at Rs 30,747.35 crore, so far.

The indicative call rates which closed at 8.15/20% on  Monday 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 Bank, State Bank of India, Union Bank of India, ING Vysya Bank, BNP Paribas, HDFC Bank, P&S Bank.