Rupee declines
Mumbai: The rupee declined by around five paise, tracking the movement of the euro and yen against the dollar. The rupee opened at 44.70, touched an intra-day high of 44.66 to finally close at 44.70 against 44.65 on Thursday. In forwards, the six-month closed at 2.94 per cent (3.08 per cent) and the 12-month ended at 2.52 per cent (2.63 per cent).
Bonds: Bond prices rose by over 20 paise on the back of lower inflation figures.

Total traded volumes were higher at Rs3,080 crore (Rs1,935 crore). Prices initially opened lower than Thursday's close but sentiment improved after the release of domestic inflation data. Inflation for the week ended December 2 was lower at 5.16 per cent compared to 5.3 per cent in the previous week.

G-secs: The 7.59 per cent -10 year-2016 paper opened at Rs99.30 (7.69 per cent YTM) and closed at Rs99.67 (7.64 per cent YTM), higher than Thursday's Rs99.44 (7.67 per cent YTM). The 8.07-11 year-2017 paper opened at Rs102.58 (7.69 per cent YTM) and closed at Rs102.89 (7.69 per cent YTM), up from Thursday's Rs102.63 (7.69 per cent YTM).

Call rates: The call rate closed at 8-8.10 per cent (7.9-8 per cent).

Reverse repo: In the first three-day reverse repo auction under the liquidity adjustment facility, the Reserve Bank of India received and accepted seventeen bids for Rs5,225 crore and there were no bids in the reverse repo auction. In the second-three day repo auction, the apex bank received and accepted five bids for Rs645 crore and in the reverse-repo auction, there were eight bids for Rs2,780 crore.

CBLO: The CBLO market saw 427 trades aggregating Rs23,075.9 crore in the 6.5-7.5 per cent range.
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No TDS to be levied on sale deals: CBDT
New Delhi: The Central Board of Direct Taxes has said that there would be no tax deducted at source (TDS) on sale deals which only apply to deals which are in the nature of "contract for work."
For example, an individual who has purchased a car and subsequently given a contract to another entity for customising the vehicle for some amount would be liable to deduct 2 per cent as TDS on that particular amount.
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StanChart to acquire UTI Sec holding in PD venture
Mumbai: Standard Chartered Bank will acquire UTI Securities' 24 per cent stake in Standard Charted UTI Securities India (SCUTI), a primary dealership venture between the bank and UTI Securities.

Standard Chartered holds 76 per cent stake in SCUTI. Standard Chartered's wholly owned subsidiary Standard Chartered Investments and Loans will acquire the stake from Securities and Trading Corporation of India (STCI), which took over UTI Securities for Rs265 crore in February.

Standard Chartered Investments and Loans is a category B non-banking finance company. Confirming the development, sources close to the development said the acquisition would happen at the book value of SCUTI.

The stake sale would be placed for around Rs 17 crore, going by SCUTI's book value of nearly Rs70 crore. UTI Securities invested Rs13 crore for its 24 per cent stake in the company six years ago. Standard Chartered has received the permission from the Foreign Investment Promotion Board for this investment.
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Forex reserves fall by $45mn
Mumbai: After rising for three weeks in a row, forex reserves fell marginally for the week ended December 8 mainly due to change in currency assets. Forex reserves decreased by $45 million to $175.444 billion in the week ended December 8.

In the earlier week, forex reserves had risen by $2.707 billion to touch $ 175.489 billion. Foreign currency assets expressed in dollars include the effect of appreciation or depreciation in non-US currencies (such as euro, sterling and yen) held in reserves.
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