Markets Report

Sentiment: Bullish

• Liquidity and expectation of falling inflation rate have led to rally in gilt prices.
• Prices of long-term bonds went up by 20 paise, while medium term moved up by 10 paise.
• The 10-year benchmark paper closed at around 5.11 per cent.
• Call money rates figured around 4.25 per cent.
• Repo subscription was around Rs 32,000 crore.

Forex market

Sentiment: Bullish

• The spot rupee opened and closed at 45.53/54 to a dollar after moving to a intra-day low of 45.58.
• RBI intervention in the forwards market saw the six-month and one-year closing at 0.07 per cent and 0.23 per cent respectively.

Outlook The spot rupee is expected to open in the range of 45.50/55 to a dollar.