Re down on heavy dollar demand

Tracking weak stock markets, the rupee on Monday closed 13 paise lower against the dollar at 54.41, breaking a three-day winning run, on heavy dollar demand ahead of industrial production and consumer inflation data tomorrow. The rupee closed in the negative terrain despite capital inflows worth $180 million and a sentiment boost from exports growing by 4.25 per cent in February, forex brokers said.

At the Interbank Foreign Exchange market, the domestic unit resumed lower at 54.42 a dollar from last weekend's close of 54.28 and declined further to a low of 54.52 on initial hesitancy in share markets and dollar demand from importers, mainly oil refiners, and some banks.

Bonds end mixed
Government securities (G-sec) ended mixed on alternate bouts of buying and selling. The 8.15 per cent G-sec maturing in 2022 eased to Rs 101.99 from Rs 102 last Friday, while its yield held steady at 7.84 per cent.

The 8.33 per cent G-sec maturing in 2026 moved down to Rs 103.16 from Rs 103.19, while its yield ruled stable at 7.94 per cent and 8.20 per cent.

Call rates finish higher
Call money rates finished higher due to good demand from borrowing banks. It finished higher at 7.85 per cent from last weekend's level of 7.25 per cent.