Re ends tad higher at 44.22/$

MARKETS REPORT

Forex market

Outlook:
The spot rupee is expected to open in the range of 44.20-25 to a dollar.

Sentiment: Dull

The spot rupee opened at 44.23/24 and closed a tad higher at 44.21/22 .

The annualised premiums for the six-month and one-year forward dollars is at 3.29 per cent and 3.08 per cent, respectively.

Money market

Sentiment: Dull

Lack of triggers and concern on advance tax outflow led to cautious trading.

The prices of government securities fell by 20-25 paise across maturities.

The yield on the ten-year benchmark paper closed at 7.97 per cent.

Liquidity was comfortable with the RBI receiving bids to the tune of around Rs 22,000 crore.

The market expects lukewarm response to the auction on Wednesday since banks have already built in portfolios for the year end.

Call rates ruled around 5.30/35 per cent.