Re ends tad higher at 40.58/$

MARKETS REPORT

Forex market

Outlook:
The spot rupee is expected to open in the range of 40.52-60 to a dollar on Monday.

Sentiment: Flat

The spot rupee opened at 40.62/63 but closed a tad higher at 40.57/58 to a dollar.

The annualised premium for six-month and one-year forward dollars closed at 4.23 per cent and 3.70 per cent respectively.

Money markets

Sentiment: Bullish

The market was bullish, anticipating demand for SLR securities from the banks.

Prices of securities went up by 30-50 paise across maturities.

The yield on 10-year paper closed at 8.1350 per cent as against closing of 8.15 per cent on Thursday.

Call rates closed around 7.5 per cent with the RBI infusing around Rs 4690 crore from the system.

The cut-off yield on the 7.38 per cent 2015 paper and 8.35 per cent and 2022 paper was fixed at 8.24 per cent and 8.40 per cent against the expectation of 8.27 per cent and 8.41 per cent respectively.