Call rates edge lower on reporting fortnight

Interbank call rates were almost unchanged at 8.00/05% from its previous close of 8.00/10% on Friday, as most banks already covered up for their mandated requirements, being the end of the reporting fortnight. Further, call rates are expected to gyrate around this level until the payments for advance tax are made in mid-September.

The banks via Liquidity Adjustment Facility (LAF) borrowed Rs 35,650 crore through repo window on August 24, 2012, while, the banks via LAF borrowed Rs 34,295 crore through repo window and parked Rs 705 crore via reverse repo window on August 23, 2012.

The overnight borrowing rates touched a high and low of 8.05% and 7.95% respectively.

According to the Clearing Corporation of India (CCIL), the weighted average rate (WAR) in the call money market was 7.95% on Friday and total volume stood at Rs 26,532.91 crore, so far.

As per CCIL data, WAR in the CBLO (Collateralized Borrowing and Lending Obligation) market was 7.46% on Friday and total volume stood at Rs 10,527.80 crore, so far.

The indicative call rates which closed at 8.00/10% 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 Bank, State Bank of India, Union Bank of India, ING Vysya Bank, BNP Paribas, HDFC Bank, P&S Bank.