The rupee gained on Monday, snapping three days of losses on inflows tied to dollar sales from foreign banks and companies, even as high wholesale prices virtually sealed the case for a rate hike on Wednesday.
The partially convertible rupee closed at 61.74/75 a dollar compared with 62.12/13 on Friday. It rose 0.7 per cent in a session, its biggest single-day gain in nearly a month.
Bonds recover
Government securities (G-secs) recovered on fresh buying support from banks and companies. The 8.83 per cent G-sec maturing in 2023 climbed to Rs 99.76 from Rs 99.46 previously, while its yield declined to 8.87 per cent from 8.91 per cent.
Call rates end higher
Call money rates also ended higher at the overnight market, owing to good demand from borrowing banks.
The rates ended at 7.75 per cent from Friday's six per cent.
The partially convertible rupee closed at 61.74/75 a dollar compared with 62.12/13 on Friday. It rose 0.7 per cent in a session, its biggest single-day gain in nearly a month.
Bonds recover
Government securities (G-secs) recovered on fresh buying support from banks and companies. The 8.83 per cent G-sec maturing in 2023 climbed to Rs 99.76 from Rs 99.46 previously, while its yield declined to 8.87 per cent from 8.91 per cent.
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Call money rates also ended higher at the overnight market, owing to good demand from borrowing banks.
The rates ended at 7.75 per cent from Friday's six per cent.