Re ends steady at 40.77/$

MARKETS REPORT

Forex Market

Outlook:
The spot rupee is expected to open in the range of 40.72-80 to a dollar.

Sentiment: Dull

The spot rupee opened at 40.76 and closed around 40.77 after reaching an intraday high of 40.73 to a dollar.

The annualised premia for six-month and one"�year forward dollars closed at 2.93 per cent and 2.82 per cent, respectively.

Money Market

Sentiment: Bullish

The government securities market witnessed good trading demand from the banks since the RBI refrained from announcing any liquidity absorption measures.

The prices of government securities moved up in a range of 30-80 paise across maturities. The yield on the ten year paper closed at 8.20 per cent as against a closing of 8.28 per cent last week.

The liquidity remained comfortable with the call rates closing at 3 per cent.

The market is anticipating signs of liquidity tightness from Wednesday after the outflows towards advance taxes.