Rupee at 1-month low on capital outflows

The currency extends its losing run to second day by plunging 44 paise

Tracking a weak stock market, the rupee today extended its losing run to a second day by plunging 44 paise to a one-month low of 54.89 on dollar demand and heavy capital outflows. At the Interbank Foreign Exchange market here, the rupee commenced weakly at 54.50 a dollar from the previous close of 54.43 and immediately touched a high of 54.49.

Bonds remains up
Government securities (G-sec) remained up due to consistent demand from banks and companies. The 8.15 per cent G-sec maturing in 2022 moved up to Rs 101.19 from Rs 101.18 yesterday, while its yield held steady at 7.96 per cent. The 8.33 per cent G-sec maturing in 2026 went up to Rs 102.20 from Rs 102.17, while its yield inched down by 8.05 per cent from 8.06 per cent. The 8.20 per cent G-sec maturing in 2025 also climbed to Rs 101.1750 from Rs 101.1350, while its yield held stable 8.05 per cent. The 8.12 per cent G-sec maturing in 2020, the 7.80 per cent maturing in 2021 and the 8.97 per cent maturing in 2030 also quoted higher at Rs 101.47, Rs 98.60 and Rs 106.87 respectively.

Call rates end higher
Call money rates also finished higher, owing to good demand from borrowing banks. The rate finished higher at 6.85 per cent from the previous close of 6.75 per cent.