Re slips to 43.94/$

MARKETS REPORT

Forex market

Outlook
The spot rupee is expected to open in the range of 43.89/92 to a dollar on Friday.

Sentiment: Bearish

The spot rupee opened higher at 45.76/78 but ended lower at 43.91/94 to a dollar on greenback buying by foreign banks.

Forwards went up as inter-bank players bought dollars anticipating a further appreciation. The sixmonth and one-year premiums closed at 1.95 per cent and 1.50 per cent, respectively.

Money market

Sentiment: Bearish

The state loan announcement and fear of shortage of liquidity in the wake of a crashing equity market pulled down gilt prices.

Prices in long-tenure papers fell by 75 paise, whereas the short and medium-tenure securities saw a price fall of 45-55 paise.

The yield on the benchmark 10-year paper 7.38 per cent 2015 closed at 6.60 per cent.

Call money rates ruled at 4.75/8 per cent, whereas reverse repo bids stood at over Rs 29,000 crore.