Markets Report

 Sentiment: Bearish

 

 

Concerns over tightening of liquidity following the tighter ECB norms pulled down government security prices.

While prices on long-term papers fell by 30-40 paise and medium term lost around 20 paise.

The 10-year benchmark 7.27 per cent 2013 closed around 5.10 per cent.

Call money rates were comfortable at 2.5/3 per cent, while repo subscriptions was around Rs 14,000 crore.

 Forex market

 Market Sentiment: Weak

 

 

Tighter ECB guidelines and fears of cash dollar shortage saw the spot rupee rising to intraday low of 45.4450 after opening at 45.38 to a dollar. The rupee closed at opening levels as inter-bank players cancelled their deals for buying dollars.

The six-month forward premium closed at 0.05 per cent.

 Outlook

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 The spot rupee is expected to open in the range of 45.37/40 to a dollar today.