Volatile rupee ends lower

MARKETS REPORT

Forex market

Outlook
The rupee is likely to open between 45.65 and 45.70 against the dollar on Tuesday.

Sentiment: Volatile

• The rupee opened at 45.64/66 per dollar and ended lower at 45.6850/69. It touched a high of 45.63 and a low of 45.73 in intraday trades.
• Premiums on forward dollars ended lower. Annualised premiums on six-month and one-year dollars closed at 1.42 per cent and 1.32 per cent respectively.

Money market

Sentiment: Bearish

• Volume in the government securities market remained subdued for the third day since the announcement of the transaction tax on exchange-traded securities.
• Trading continued on the negotiated dealing system.
• The ten-year benchmark paper, 7.37 per cent 2014, closed at 5.89 per cent, compared with 5.87 per cent on Friday.
• Call rates ended at 4.25-30 per cent.
• Repo subscriptions stood at Rs 20,000 crore.
• There was no trading in the corporate bonds market.