Re ends weaker at 44.72/$

MARKETS REPORT

Forex market

Outlook
The rupee is expected to open in a range of 44.65-44.75on Monday.

Sentiment: Bullish

The spot rupee closed at 44.71/7150, after touching a nearly eight-month high of 44.35, on the back of sustained dollar buying by state-run banks on behalf of the RBI and dollar demand by oil companies.

Forward premiums eased across the curve and annualised premium for the six-month forward dollar closed at 1.79 per cent.

Money market

Sentiment: Cautious

The market closed range-bound with a slight easing bias, as liquidity in the banking system improved thanks to suspected central bank intervention in the forex market.

The yield on the benchmark 10-year bond ended at 7.60 per cent, lower than Thursday's 7.61 per cent.

Call rates closed at 6.65 per cent with Reserve Bank of India absorbing bids worth Rs 8,960 crore from the market.

Dealers said market participants would take the auction of Rs 2,431 crore worth of bonds by eleven state governments having a maturity of 10 years on November 16 in their stride.