Re ends at a 2-week low of 43.50/$

MARKETS REPORT

Forex market

Sentiment: Bearish

• The rupee ended at a 2-week low of 43.4975/5025 per dollar as the dollar made gains abroad. This is its lowest finish since May 3
• Forwards inched up with the 1-year premium ending at 1.34 per cent, from 1.31 per cent on Friday.

Money market

Sentiment: Bearish

• Select gilts fell 10-25 paise on concerns about liquidity strain due to the central and state loan auction outflows.
• The 10-year yield rose by two basis points to 7.19 per cent.
• Call rates hovered around 4.90-5.05 per cent owing to easy liquidity. The RBI accepted 32 bids for a sum of Rs 20,020 crore at the one-day, fixed rate reverse repo auction today at 5 per cent.