Markets Report

Money market

Sentiment: Bullish

• Government security prices witnessed a liquidity-driven rally but remained rangebound for most part of the day.
• Prices of both long- and medium-term papers went up by 10 paise.
• The yield on the ten-year benchmark paper, 7.37 per cent 2014, closed at 5.17 per cent.
• Call rates remained at 4.40-4.45 per cent.
• Repo subscription stood at around Rs 43,000 crore.

Forex market

Sentiment: Bullish

• The rupee witnessed severe volatility with one bank taking losses to meet corporate demand of around $100 million.
• The currency, after touched a high of 45.2175 and a low of 45.2550 in intraday trades, ended at 43.24/2450.
• Interbank covering led to paying pressure in forwards market. Annualised premiums on six-month and one-year dollars ended at 0.45 per cent and 0.53 per cent, respectively.

Outlook

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The rupee is expected to open between 45.23 and 45.25 per dollar.