Re ends higher at 44.28/$

MARKETS REPORT

Forex market

Outlook:
The spot rupee is expected to open in the range of 44.24-28 to a dollar.

Sentiment: Volatile

The spot rupee opened at 44.40/42, reached an intraday low of 44.49 before closing at 44.27/28 to a dollar.

The annualised premium for six-month and one-year forward dollars closed at 3.65 per cent and 3.03 per cent, respectively.

Money market

Sentiment: Bearish

The government securities market reeled under a bearish sentiment anticipating the announcement of the scheduled government auction.

Prices of benchmark securities fell by 30-40 paise resulting in a rise of yields by 2-3 basis points.

The yield on 10-year paper closed at 7.56 per cent.

Call rates eased to around 6.5/6.8 per cent with reasonably comfortable liquidity position.

The RBI absorbed around Rs 10,200 crore from the market .