Gilts bounce on MSS data, Re slips to 43.75/$

Outlook: The rupee is expected to open between 43.73 and 43.77 to a dollar on Wednesday.

Forex market

Sentiment: Bullish

• The rupee opened at 43.68/69 per dollar and closed lower at 43.74/75 yesterday. The currency touched an intraday low of 43.78.
• Premiums on forward dollars dipped on exporter bookings. Annualised premiums on six-month and one-year dollars closed at 0.56 per cent and 0.36 per cent respectively.

Money market

Sentiment: Bullish

• Government security prices fell during the beginning of the trading session, but bounced back in the later half of the day yesterday.
• The rebound was on the back of the announced cut-off yield of 4.53 per cent on the one-and-half-year dated security under the MSS.
• The yield on the ten-year benchmark paper closed at 5.13 per cent.
• Call money rates ended lower at 3.75-4.00 per cent, compared with the previous day's 4.30-4.50 per cent.
• Repo subscription stood at Rs 19,455 crore.