Call rates trade unchanged on Wednesday

Interbank call rates were trading unchanged at its previous close of 8.00/8.05% on Tuesday as demand stayed largely steady even in the first week of two-week reporting cycle. However, cash rates are expected to edge higher towards 8.25% during the advance tax outflows. Estimates for advance tax outflows are pegged between Rs 50,000-60,000 crore for the second quarter.

The banks via Liquidity Adjustment Facility (LAF) borrowed Rs 30,745 crore through repo window on September 12, 2012, while, the banks borrowed Rs 51,390 crore through repo window and parked Rs 5 crore  via reverse repo window on September 11, 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 7.96% on Wednesday  and total volume stood at Rs 17,870.72 crore, so far.

As per CCIL data, WAR in the CBLO (Collateralized Borrowing and Lending Obligation) market was 7.97% on Wednesday and total volume stood at Rs 42,895.25 crore, so far.

The indicative call rates which closed at 8.00/05% 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 Bank, State Bank of India, Union Bank of India, ING Vysya Bank, BNP Paribas, HDFC Bank, P&S Bank.