Re flares up to 45.22/$

MARKETS REPORT

Forex market

Outlook
The rupee is expected to open between 45.18 and 45.23 against the greenback on Friday.

Sentiment: Bullish

The rupee opened at 45.32/34 per dollar and ended higher at 45.20/22.

Premiums on forward dollars closed higher. Annualised premiums on six-month and one-year dollars closed at 2.92 per cent and 2.32 per cent.

Money market

Sentiment: Bearish

Trading in the government securities market was lacklustre, and prices declined on concerns on liquidity looming large.

There were fewer trades in long-term securities.

Prices of medium-term gilts declined by 20-30 paise, while those of short-term paper slid 10-15 paise.

The yield on the benchmark 7.38 per cent 2015 gilt closed higher at 6.95 per cent.

Call money rates shot up to 6 per cent.

Subscriptions at the reverse repo window stood at Rs 350 crore.