FOREX REPORT
The rupee continued to remain steady against the dollar in a dull inter-bank forex market yesterday. It closed at 35.88-89. The forward premiums strengthened slightly with paying pressure. The six-month annualised closed at 7.2 per cent.
The spot rupee continued to remain steady as it has been for the entire week. It opened at 35.90-91. The Reserve Bank of India (RBI) and State Bank of India (SBI) were in the market though not aggressively. However, demand was lacklustre and was met with adequate supply. This saw the rupee inch up to the close levels. The RBIs reference rate for the dollar was 35.89. The cash-tom was par/.25 paise, the tom-spot was .25/.75 paise, and the cash-spot was .5/1 paise.
In the forward segment, premiums strengthened as there was some paying pressure. Moreover, in the domestic money markets, calls ruled higher at six per cent levels. This is also cited as a reason for the higher premiums.
The monthly premiums in paise were 1-1.5 for February, 18-19 for March, 42-44 for April, 63-65 for May, 83-85 for June, 108-110 for July, and 129-131 for August.
On the cross currency front, the dollar slipped sharply against world currencies overnight.
The rupee closed at 57.79 against the pound, 21.31 against the mark and at 29.19 per 100 yen.
