Re slips to 43.95/$, bonds decline

The spot rupee declined to 43.95 per dollar as against the last close of 43.85 per dollar due to dollar's sustained rally in overseas markets.

Sentiment was bearish in the government securities market today.

State loan announcement and fear of shortage of liquidity in the wake of a crashing equity market led to fall in government securities prices.

Prices of long-term papers fell by 75 paise whereas short and medium-term securities witnessed a decline of 45-55 paise.

The yield on the 10-year 7.38% 2,015 bond moved up to 6.60%.

Call rates ruled at 4.75-4.80%, and reverse repo bids stood at over Rs 29,000 crore.