Rupee declines against dollar
Mumbai: The rupee fell against the dollar. The domestic currency opened at 46.64 and crept up to 46.56/57 before finally closing at 46.69/70, down from Thursday's 46.60/62. Dealers said that the since PSU banks were on strike they were absent in the market.

Forwards: In the forward premia market, the 6-month closed at 1.14 per cent (1.09) and the 12-month ended at 1.2 per cent (1.17).

Bond: Yields in the bond market hardened in reaction to inflation-related comments made by the Finance Minister, P. Chidambaram.

G-secs: The 7.59 per cent 10-year 2016 paper opened at Rs95.79 (8.22 per cent YTM) and closed at Rs95.61 (8.25 per cent YTM), down from Thursday's close at Rs95.81 (8.22 per cent YTM). The 7.55 per cent five-year 2010 paper opened at Rs99.62 (7.66 per cent YTM) and closed at Rs99.53 (7.69 per cent YTM).

Call rates: Call rates stood between 6 and 6.1 per cent.

Reverse repo: In the first three-day reverse repo auction under LAF, the RBI received and accepted 25 bids amounting to Rs24,595 crore and in the second three-day reverse repo auction, 33 bids for Rs19,560 crore. There were no repo bids.

CBLO: The CBLO market saw 306 trades aggregating to Rs15,919.3 crore in the 5.75-5.91 per cent range.
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Andhra Bank net grows 36.70 pc
Hyderabad: Andhra Bank has registered a net profit of Rs116.41 crore for the quarter ended June 2006, compared to Rs85.16 crore in the corresponding period of the previous quarter, a growth of 36.70 per cent. The bank's total income went up to Rs862 crore (Rs695 crore). The net non-performing assets of the bank have gone down to Rs16 crore (0.07 per cent) compared to Rs68 crore (0.38 per cent).

Priority sector advances stood at Rs8,610 crore (Rs7,507 crore), and advances to agriculture went up to Rs3,672 crore (Rs2,851 crore), an increase of 28.8 per cent.

Low cost deposits grew to Rs12,466 crore (Rs9,858 crore).While credit extended to SME sector increased to Rs2,685 crore (Rs1,985 crore), retail lending went up to Rs4,911 crore (Rs3,867 crore), registering a growth of 27 per cent. The bank's stock ended higher at Rs70.50 as against previous day's close of Rs64.50 on Friday on the BSE, showing an increase of 9.30 per cent.
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Indian Bank Q1 net up 21 pc at Rs165-cr
Chennai: Indian Bank has reported a 21-per cent growth in net profit at Rs165 crore for the first quarter ended June 30. Net interest income was up 20 per cent at Rs409 crore. Loan growth was at 27 per cent during the first quarter.

The growth in profits was aided by loan growth and a recovery of Rs75 crore of bad loans. Gross non-performing assets declined to Rs648 crore as on June 30, 2006, while net NPA declined to Rs141 crore or 0.57 per cent of loans as on June 30, 2006.

Treasury income was, however, affected by the fall in bond prices during the quarter. The bank's profit from trading in securities fell to a little over Rs6 crore compared with Rs27 crore in the corresponding year-ago period.
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OBC to foray into insurance
New Delhi: Oriental Bank of Commerce (OBC) is planning a foray into the life insurance business and is looking for joint venture partners for the purpose. Bank officials said OBC would partner with a public sector bank and an MNC for setting up the joint venture company.

OBC plans to take 23 per cent stake and will let the public sector bank have a majority holding of 51 per cent. As per the current legal framework, MNCs cannot have more than 26 per cent stake in an insurance venture. The bank would identify the joint venture partners before the end of the current fiscal.

For the quarter ended June, OBC reported net profit of Rs94.02 crore, up 116 per cent over Rs43.53 crore in the corresponding previous period.

Total income rose to Rs1,304.02 crore (Rs1,083.10 crore). The jump in net profit was driven by robust growth of credit and good level of recovery of bad debts.
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