Date:29/10/2005 URL: http://www.thehindubusinessline.com/2005/10/29/stories/2005102902750600.htm

Back Rupee unchanged; bond prices fall

Our Bureau

MUMBAI: The rupee was unchanged against the greenback on Friday as supply of dollars matched demand.

The rupee opened at 45.10/12 and touched an intra-day low at 45.15. It, however, appreciated to close at 45.08, the same level as Thursday.

Dealers said that banks sold dollars but month-end demand from importers kept the rupee unchanged. In the forward premia market, the 12-month closed at 0.42 per cent (0.46) and 6-month at 0.42 per cent (0.5).

In the bond market, prices fell by around 10 paise due to profit-booking.

Dealers said that globally, the anticipation of a rate hike by the US Fed is weighing on the market. The market is awaiting a Government auction of around Rs 8,000 crore to take place in the second week of November.

The 10.25-16 year-2021 paper opened at Rs 125.60 (7.45 per cent YTM) and closed at Rs 125.55 (7.45 per cent YTM), lower than Thursday's Rs 125.62 (7.44 per cent YTM).

The 7.37-9 year-2014 paper opened at Rs 102.60 (6.96 per cent YTM) and ended at Rs 102.54 (6.97 per cent YTM), slightly lower than Thursday's close at Rs 102.57 (6.96 per cent YTM).

The 7.38 - 10 year-2015 paper was dealt at Rs 102.17 (7.07 per cent YTM).

The call rate closed at 5.25-5.30 per cent. In the three-day reverse repo, under the liquidity adjustment facility, the RBI received and accepted 38 bids amounting to Rs 20,840 crore. In the CBLO market, there were 310 trades for Rs 12, 837.55 crore in the rate range of 5.09-5.56 per cent.