Re ends marginally higher at 40.84

MARKETS REPORT

Forex market

Outlook:
The spot rupee is expected to open in the range of 40.80-86 to a dollar.

Sentiment: Bearish

The spot rupee opened at 40.89/90 and rose to 40.74 but fell again to close at 40.83/84 to a dollar.

The annualised premium on six-month and one-year forward dollars firmed up to close at 5.63 per cent and 4.72 per cent against 5.42 per cent and 4.61 per cent on Monday.

Money market

Sentiment: Bullish

Easy liquidity made the traders deal in government papers actively ahead of the MSS and dated security auction.

The yield on 10-year paper closed at 8.10 per cent against 8.15 per cent.

The prices of government securities moved up by 25-30 paise across maturities.

Call rates moved below the reverse repo rate to close around 4 per cent amid comfortable liquidity .

The RBI received bids around Rs 28,595 crore from the market under its reverse repo mode.