Re ends lower at 46.22/$

MARKETS REPORT

Forex market

Outlook:
The spot rupee is expected to open in the range of 46.17-22.

Sentiment: Volatile

The forex market remained volatile with the spot rupee opening at 46. 15/17 and reaching an intraday high of 46.05 before closing at 46.20/2150

Annualised premiums on the six-month and one-year forwards closed at 1.23 per cent and 1.30 per cent, respectively.

Money market

Sentiment: DULL

Prices of government securities fell by 25-30 paise across maturities as part of correction after buoyant rally in the beginning of the week.

The yield on the ten-year paper closed at 7.77 per cent.

Call rates ruled around 6.05-6.10 per cent with the RBI absorbing around Rs 43,000 crore from the market.

The cut-off yield on 7.59 per cent 2016 and 7.50 per cent 2034 paper is expected in the range of 7.81-82 per cent and 8.3-8.47 per cent, respectively.

The yield on the 2034 paper depends on the bidding by Life Insurance Corporation, said market sources.