FOREX REPORT
The spot rupee remained steady against the dollar moving by only half a paise during the day. It closed at 35.81-82. The forward premiums remained very soft with the six-month at 4.07 per cent and the one year at 4.08 per cent.
The spot rupee opened at 35.81-82 and moved only moved only half-a-paise to 35.815-825 following passive buying by the Reserve Bank of India (RBI). Dealers said that there were no other active players in the market. The cash-tom and tom-spot were -.5/0 paise each, and the cash-spot was -1/0 paise.
Forward premiums remained soft as receiving interest continued to dominate the market. Most of the paying pressure is from corporates who are hedging their long term exposures. This has caused the gap between the buy-sell quotes in the far-forward market to come down from 20 paise a few months ago to three paise currently.
Monthly premiums in paise were 0-2 for June, 7-10 for July, 17-20 for August, 31-34 for September, 46-49 for October, 60-63 for November, 75-78 for December, 89-92 for January, 104-107 for February, 121-123 for March, 136-139 for April, and 150-153 for May.
Overseas, the market remained quiet and the dollar remained steady against other major world currencies. The rupee, however, has depreciated against the pound closing at 59.19 and the mark at 20.73, but closed slightly stronger against the yen at 31.24 per 100 yen.
