Re recovers to end at 43.90/$

MARKETS REPORT

Outlook: Rupee seen strong at 43.90 to the dollar on Friday.

Sentiment: Bullish

• The rupee ended strong at 43.8900/9000 after opening lower at 43.9600/9700 per dollar on Thursday.
• The one-year forward dollar/rupee premium ended at 0.61 per cent annualised, up from 0.58 per cent on Wednesday.

Money market

Sentiment: Bullish

• Call money rates remained range bound to end at 4.90-5.00 per cent after opening at 5.00-5.05 per cent, hardly changed from its previous close.
• Advance tax outflows worth Rs 2000-3000 crore might squeeze liquidity in the banking system.
• Yield on the actively traded 7.37 per cent 2014 gilt was quoted at 6.96 per cent compared with its previous close of 6.97 per cent.
• Bonds gained in early trades as crude prices fell to below $64 a barrel.
• The corporate bond market was lacklusture.