Re ends weaker at 46.24/$

MARKETS REPORT

Outlook:
The spot rupee is expected to open in the range of 46.22-27 to a dollar on Monday.

Sentiment: Bearish

Tracking the yen, the spot rupee lost by opening at 46.14/16 but closed at 46.24/25 to a dollar.

The annualised premiums on the six-month and one-year forwards closed at 1.31 per cent and 1.32 per cent, respectively.

Money market

Sentiment: Bearish

Prices of government securities moved up by 50-60 paise across maturities in response to the cut-off yield announced in the auction on Friday.

The rally started after the auction results, ignoring the bearish outlook following high inflation figures.

The yield on the ten-year paper closed at 7.69 per cent.

Call rates ruled around 6.05-6.10 per cent with the RBI absorbing around Rs 42,000 crore.

The cut-off yield on 7.59 per cent 2016 and 7.50 per cent 2034 paper figured at 7.76 per cent and 8.45 per cent, respectively.