Re ends weak at 44.22/$

MARKETS REPORT

Forex Market

Outlook:
The spot rupee is expected to open in the range of 44.18-44.24 against a dollar on Monday.

Sentiment:Bearish

The spot rupee opened at 44.26-44.27 but heavy dollar selling by 2 foreign banks towards the end of the trading session led the currency to close at 44.21/22 against the dollar

The annualised premiums on six-month and one-year forward dollars closed at 3.08 per cent and 2.94 per cent, respectively

Money Market

Sentiment: Bullish

Inflation was around the market expectation and improved liquidity led to buying demand in the government securities

Prices of government securities moved up in the range of 10-30 paise across all maturities

Yield on the 10-year paper closed at 7.92 per cent as against a closing of 7.96 per cent on Thursday

Market volumes remained thin since many of the dealers were attending a FIMMDA seminar

Call rates closed at around 6.5 per cent while the RBI absorbed around Rs 6,000 crore from the market