Re slips a tad to 46.58/$

MARKETS REPORT

Forex market

Outlook:
The spot rupee is expected to open in the range of 46.54-59 to a dollar.

Sentiment: Bullish

The market remained dull during the day but sentiment changed after Fitch revised its India outlook.

The spot rupee opened at 46.62/63 and fell to 46.65/66 before closing for the day at 46.57/58 to a dollar.

The annualised premium for six-month and one -ear dollars is 1.05 per cent and 1.15 per cent.

Money market

Sentiment: Dull

The market sentiment was marred as the size of the auction announced on Monday was Rs 9,000 crore against the market expectation of a smaller size.

The prices of government securities fell by 5-10 paise.

The yield on the 10-year paper closed at 8.31 per cent.

Call rates ruled around 6.05/10 per cent with the RBI absorbing around Rs 49,190 crore.

The market witnessed thin volume of when-issued transaction of papers to be auctioned on August 8.