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The rupee weakened for a third straight trading day on Tuesday. The weakness was due to persistent month-end dollar demand from importers. According to currency dealers the rupee weakened despite custodian banks selling dollars.
The rupee ended at 62.77 compared with the previous close of 62.60 per dollar. It had opened at 62.86 and during intra-day trade it touched a high of 62.45 and a low of 62.91 .
Govt bond yields fall marginally
Tracking the weak rupee, government bond yields failed to fall sharply, despite the fact that the government said it would stick to its planned market borrowing. The issuance calendar for marketable dated securities was announced on Monday. The government will borrow Rs 2.35 lakh crore in the second half of the financial year taking the total gross market borrowing to the Rs 5.79 lakh crore announced in the Union Budget.
The yield on the 10-year benchmark government bond 7.16 per cent 2023 ended at 8.84 per cent compared with Monday’s close of 8.85 per cent.
Call rates finish stable
Call money rates finished stable at the overnight market here on Tuesday, as demand from borrowing banks matched supplies.
