Rupee higher against dollar
Mumbai: The rupee was stronger against the dollar on the back of strong dollar inflows into the equity markets. The rupee opened at 45.70/71 and ended at 45.65, against Wednesday's 45.74. The dollar weakened against the major global currencies on the Fed Governor, Dr Ben Bernanke's statement that growth of the housing sector in the US was slowing down.

Forwards: In forwards, the six-month premium closed at 1.38 per cent (1.46 per cent) and the 12-month ended at 1.40 per cent (1.43 per cent).

Bonds: Bonds ruled quiet as the market-awaited details of fresh auctions in the second half of the fiscal, said dealers. Total traded volumes on the order-matching system were lower at Rs3,150 crore (Rs3,710 crore). The 7.59 per cent-10 year-2016 benchmark paper opened at Rs100.16 (7.59 per cent YTM) and closed at Rs100.01 (7.58 per cent YTM) against the earlier close of Rs100.01 (7.58 per cent YTM). The 8.07 per cent-10 year-2017 paper opened at Rs103.15 (7.62 per cent YTM) and closed at Rs103 (7.64 per cent YTM) against the previous close of Rs103.02 (7.64 per cent YTM).

Call rates: Call rates were unchanged between 6.40 and 6.50 per cent.

Reverse repo: In the first one-day reverse repo auction under the LAF, the Reserve Bank of India received and accepted seven bids amounting to Rs15,330 crore and in the second one-day reverse repo auction, 11 bids for Rs14,020 crore.

CBLO: The CBLO market saw 299 trades aggregating to Rs17,361.70 crore in the 6-6.20 per cent range.
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BoB to form JV for insurance foray, will offer wealth mgmt services
Chennai: Bank of Baroda is at an advanced stage of negotiations for forming a joint venture for its proposed life insurance foray. The bank also plans to launch wealth management services and stock broking services for the middle class said Dr Anil K. Khandelwal, chairman and managing director, Bank of Baroda. The bank is also inviting foreign partners for its mutual fund and credit card business.

The bank has announced the launch of its 10th "retail loan factory" in Chennai. The retail loan factory works on an assembly line principle to enable specialisation and quick sanction of loans as well as eventual increase in retail volumes. Currently housing loans are sanctioned within six days. He said the bank planned to add 25 branches in the four southern States before March 2007.
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MetLife India to expand operations in India
New Delhi: MetLife India Insurance Co plans to invest $100 million capital to fund its expansion plans. MetLife Inc, which holds 26 per cent in MetLife India, is also keen to increase its stake to 49 per cent once the Government hikes the FDI cap.

The injection of capital is to sustain the 100 per cent year-on-year growth and aggressively increase the agent force and double the branch network in the next two years. MetLife collected close to Rs150 crore in premium in the first six months of this fiscal. MetLife India is a joint venture of MetLife Inc, J&K Bank, M. Pallonji and Co and other private investors.
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