Re ends lower at 46.51/$

MARKETS REPORT

Forex market

Outlook:
The spot rupee is expected to open in the range of 46.50-54 to a dollar.

Sentiment: Bearish

Yen weakness globally saw the rupee opening lower at 46.50/52 after closing at 46.46 on Monday. It closed at 46.51 to a dollar after remaining rangebound during the day.

The annualised premium for six-month and one-year forward dollars closed at 1.42 per cent and 1.36 per cent respectively.

Money market

Sentiment: Dull

Gilts market was lacklustre as dealers were in a consolidation mode after heavy buying last week.

The yield on the 10-year benchmark closed at 8.03 per cent amid dull trading.

Call rates ruled at 6.05/6.10 per cent even as reverse repo bids invited by the RBI to absorb excess liquidity fell to Rs 28,000 crore.

Prices of government securities remained flat during the day.

The corporate bond market witnessed trading interest from provident funds and insurance companies.