Markets Report

Money market

Sentiment: Moderate

• Statement by a RBI official expressing concern on inflation subdued the market leading to a fall in gilt prices.
• Prices of long tenors fell by 20-30 paise, while in medium tenors, prices dipped 10-15 paise.
• Call money rates remained easy around 4.25 per cent.
• Repo subscription , despite auction touched Rs 47,000 crore.
• The 10-year benchmark yield closed at 5.10 per cent.

Forex market

Sentiment: Moderate

• The spot rupee remained flat after opening at Rs 45. 60/61 and closed at 45.62/63 to a dollar.
• With RBI intervention, discount on forward dollars recovered. The six-month and one-year forwards closed at par and 0.20 per cent, respectively.

Outlook

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The spot rupee is expected to open today in the range of 45. 59/62 to a dollar.