7 october 2005

rupee firmes up
mumbai: the rupee was stable due to the weakening of the us dollar against other major currencies and some dollar demand from importers.

the rupee opened at 44.20/22 and touched an intra-day low of 44.30. it closed at 44.2750/2850, slightly lower than wednesday's 44.27/28.

forwards: in the forward market, the 6-month premium closed at 0.82 per cent (0.77 per cent) and the 12-month premium closed at 0.72 per cent (0.7 per cent).

bonds: bond prices initially fell by 15-20 paise ahead of the auction. however, they recovered by almost 75 paise as rbi in a landmark decision rejected all the bids for the rs 6,000 crore auction of the 11.83 per cent -9 year-2014 paper as the dealers asked for very high yields on the paper.