Re steady at 43.71/$, gilts rise

MARKETS REPORT

The spot rupee is expected to rule in a narrow range of 43.70/43.73 on Thursday.

Sentiment: Dull

The spot rupee hit an intra-day high of 43.69 on Wednesday owing to strong dollar inflows. However, RBI intervention capped further gains in the currency.

The rupee, which ruled in a band of 43.69-43.73 to a dollar, slipped to close at 43.70/43.71.

Money market

Sentiment: Bullish

Gilt prices fell by 15 paise on Wednesday morning but recovered on statements from officials that the government's net borrowing would be lower that the budgeted figure.

The 10-year benchmark, 7.38 per cent 2015 paper closed 10 paise higher than Tuesday's close.

Call money rates ruled in the 4.65-4.75 per cent range.

RBI absorbed liquidity worth Rs 44,000 crore from the system.