FOREX REPORT
The rupee slipped against the dollar after gaining a few points following some dollar buying particularly by public sector and foreign banks. The rupee finally closed at 36.365-385. Forward premiums firmed up significantly on some paying interest the six-month annualised closing at 6.79 per cent and the one year at 6.64 per cent.
Spot rupee opened at 36.36-37. Morning trade was characterised by some dollar sellings as banks off-loaded overnight transfer of funds. The rupee rose to 36.34. However, early in the afternoon, several public sector banks and some foreign banks bought dollars. This put pressure on the rupee and it slipped to close levels.
Cash-tom was .25/.5 paise, tom-spot was .25/.75 paise, and cash-spot was .25/1 paise.
In the forward market trading picked up as some inter-bank paying interest in the market. The premiums firmed up by 5-6 paise in the medium term and 15 paise for the far term. Monthly premiums (in paise) for the year ahead closed at 12-15 for November, 31-34 for December, 51-54 for January, 72-75 for February, 93-96 for March, 117-120 for April, 137-140 for May, 158-161 for June, 179-120 for July, 199-202 for August, 219-222 for September, 238-243 for October, and 257-262 for November.
In the crosses, rupee recovered slightly to close at 61.04 against the pound, 21.02 against the mark, and 29.7 per 100 yen.
