Re ends weaker at 44.18/$

MARKETS REPORT

Forex Market

Outlook:
The spot rupee is expected to open in the range of 44.14-19 to a dollar.

Sentiment:Bullish

The spot rupee opened at 44.12/13 but closed at a low of 44.17/18 following heavy dollar buying by state-run banks.

The annualised premium for six-month forward dollar closed at 3.24 per cent.

Money Market

Sentiment: Bullish

Prices of government securities market moved up by 20-30 paise across maturities following demand from banks to support rising deposits.

The yield on 10-year paper closed at 8.01 per cent.

Liquidity remained tight with call rates hovering around 7.80-7.90 per cent.

The RBI injected liquidity of around Rs 7730 crore into the market.

State-run banks were seen raising six-month funds through certificate of deposits at 10.25/10.5 per cent.