Markets Report

 Sentiment: Bullish

 

 

Trading in the gilts market picked up after interest rates under the Rural Infrastructure Development Fund was cut.

Prices of long-term securities went up by 20-25 paise, whereas in the medium term prices rose by 10-15 paise.

The yield on the ten-year benchmark paper, 7.27 per cent 2013, hovered around 5.07 per cent.

Call money rates were comfortable at 4.00/4.50 per cent amid abundant liquidity.

 Forex market

 Market Sentiment: Dull

 

 

The rupee opened at 45.32/33 per dollar, but closed higher at 45.2850/29 on the back of forex inflows.

Forward premium remained rangebound amid dull trading, with the six-month annualised premium closing at 0.46 per cent.

 Outlook

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 The rupee is expected to open at 45.28/30 on Thursday.