Re hits 5 year high to close at 43.41/$

MARKETS REPORTS

Forex market

Outlook: The spot rupee is expected to open in the range of 43. 38/40 to a dollar.

Sentiment: Bullish

• The S&P upgrade perked up the market and the spot rupee rose to a 5-year high to close at 43.41 to a dollar.
• Forwards came off substantially with the six-month and one-year premiums closing at 1.56 per cent and 1.87 per cent respectively.

Money market

Sentiment: Bullish

• The Standard & Poor's rating upgrade buoyed market sentiment.
• Prices of short-tenure papers went up by 15 -20 paise, whereas the medium-tenure papers witnessed a price hike of almost 40 paise.
• The benchmark 10-year 7.38 per cent 2015 gilt closed at 6.68 per cent against its Tuesday close of 6.72 per cent.
• The money rates remained at 4.70/80 per cent with reverse repo bids at Rs 22,310 crore.