After a day's respite, the rupee on Wednesday fell by 29 paise, its biggest single-day fall in a week to end at 56.73 on Wednesday, due to heavy dollar demand from importers amid renewed concerns over withdrawal of the US monetary stimulus. However, some capital inflows and recovery in local stocks cushioned the fall to some extent, forex dealers said. The currency commenced the day higher at 56.43 a dollar from yesterday's close of 56.44 at the Interbank Foreign Exchange market and immediately touched a high of 56.31 on early dollar selling by exporters.
Bonds turn bearish
Government securities (G-Sec) traded bearish on selling pressure from banks and companies.
The 8.33 per cent G-sec maturing in 2026 fell to Rs 107.95 from Rs 108.16 previously, while its yield climbed to 7.37 per cent from 7.35 per cent. The 8.15 per cent G-sec maturing in 2022 declined to Rs 104.84 from Rs 104.95, while its yield moved up to 7.41 per cent from 7.39 per cent.
Call rates end higher
Call rates recovered at the overnight money market here on Wednesday on fresh demand from borrowing banks.
The rate finished higher at 7.30 per cent from yesterday's closing level of 7.25 per cent. It moved in a range of 7.35 per cent and 7.20 per cent.
