The rupee fell to the lowest level in more than a month on speculation importers stepped up dollar purchases to pay month-end bills. The rupee declined 0.9 per cent from October 25 to 54.07 per dollar in Mumbai, according to data compiled by Bloomberg. It touched 54.09 earlier, the lowest level since September 21.
Bonds react downwards
The government bonds dropped on heavy selling pressure from banks and companies.
The 8.15 per cent government security maturing in 2022 dipped to Rs 100.10 from 100.13 previously, while its yield held steady to 8.13 per cent.
The 8.33 per cent government security maturing in 2026 fell to Rs 100.82 from 100.86, while its yield inched up 8.23 per cent from 8.22 per cent.
Call rates end lower
Call rates also fell at the overnight market here on Monday due to lack of demand from borrowing banks amidst ample liquidity in the banking system. The rate finished lower at eight per cent from previous closing level of 8.15 per cent.