RBI's Rs 50,000 crore VRRR faces muted response from market
FROM THE WIRE · ECONOMICTIMES.INDIATIMES.COM
The Reserve Bank of India announced a variable rate reverse repo operation of ₹50,000 crore. This decision came after the banking system liquidity reached nearly ₹2 lakh crore on Monday. Banks opted to bid ₹23,905 crore, reflecting an asymmetry in the banking system's surplus.…
Read at the source ↗MARKET IMPACTNEUTRAL✦ News Impact agent estimateTone: neutralRBI liquidity absorption operations affect short-term money market rates.AI-generated summary
✦ IN BRIEF · AIAI-generated summary
- 01The RBI announced a variable rate reverse repo operation of Rs 50,000 crore.
- 02Banks bid Rs 23,905 crore against banking liquidity of nearly Rs 2 lakh crore.
- 03The weighted average call rate fell to 5.45% from 5.50%.