Market Report

Money market

Sentiment: Dull

Gilt yields came off a tad owing to the ample liquidity situation. In absolute terms government paper prices rose by five paise over the previous close.

The yield on the 7.27 per cent 2013 paper closed at 5.74 per cent (Rs 111.68), after slipping to 5.7320 per cent (Rs 111.72).

Call rates were dealt at around the repo rate of 5 per cent. The RBI accepted 80 per cent of the Rs 16,500 crore worth bids received at the one-day repo auction.

Forex market

Market Sentiment: Bullish

The rupee closed at a 2-1/2 year high of 46.70/71 to a dollar today against 46.7925/8000 yesterday. The six-month forward slipped to finish at 2.05 per cent (2.12 per cent).

 

Outlook

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The rupee is seen in the 46.66-46.73 band against the dollar tomorrow.