Re moves up to 43.53/$

MARKETS REPORT

Forex market

Outlook
The spot rupee is expected to open in a wide range of 43.50/56 per dollar.

Sentiment: Bullish

Rumours of the yuan's revaluation fuelled a rally in the spot rupee. It opened at 43.70 and gained almost 17/18 paise to close at 43. 52/53 per dollar.

Premiums on the forward dollar tracked the spot rupee. The six-month and one-year premiums ended at 1.74 per cent and 1.49 per cent, respectively.

Money market

Sentiment: Bearish

Gilts remained rangebound post the reverse repo rate hike on Thursday. The bearishness increased as inflation was reported at 5.64 per cent.

The yield on the ten-year and 12-year papers closed at Wednesday's levels of 7.22 per cent and 7.54 per cent, respectively.

Call rates fell to 2 per cent with the closing of the reporting Friday and reverse repo bids were at Rs 27,650 crore.

Corporate bonds market remained lacklustre.