Rupee ends marginally higher at 45.88/$

MARKETS REPORT

Outlook: The rupee is expected to open between 45.85 and 45.89 against the greenback on Tuesday.

Sentiment: Bullish

• The rupee opened at 45.88/89 per dollar and ended marginally higher at 45.87/88. It hit an intraday low of 45.97.
• Premiums on forward dollars closed lower. Annualised premiums on six-month and one-year closed at 1.89 per cent and 1.58 per cent respectively.

Money market

Sentiment: Moderate

• Government security prices ended higher on announcement of a lower target for the government borrowing programme during the second half of this fiscal.
• Prices of long-term paper went up 15-20 paise, while those of medium- and short-term paper gained 10 paise.
• The yield on the ten-year benchmark paper, 7.37 per cent 2014, closed lower at 6.1350 per cent.
• Call money rates ended higher at 4.50 per cent due to advance tax outflows.
• The spread between yields on AAA five-year corporate bond and gilt of comparable maturity stood at 70 basis points.