Rupee moves up against dollar
Mumbai: The rupee strengthened by about 19 paise against the dollar on Wednesday mainly due to the fact that a leading private sector bank sold large quantity of dollars according to currency dealers. The rupee closed at 40.78 a dollar against the previous close of 40.97. The rupee opened at 40.85 and saw an intra-day low of 40.90 before closing at 40.78.

Dealers said there was not much of RBI intervention in the market.

In forwards, the six-month premia closed at 4.19 per cent (4.74 per cent) while the 12-month ended at 3.82 per cent (4.12 per cent).

Bonds: Bond prices rose by around 10 to 20 paise on Wednesday as the cut-off yield for the Rs6,000-crore auction was perceived by dealers as favourable. Total traded volumes on the order-matching system were Rs6,535 crore (Rs3,550 crore).

G-secs: The 8.07 per cent-10 year-2017 benchmark paper opened at Rs99.70 (8.11 per cent YTM) and closed at Rs99.78 (8.09 per cent YTM), against Tuesday's Rs99.67 (8.12 per cent YTM).

The 7.49 per cent-10 year-2017 opened at Rs95.30 (8.19 per cent YTM) and closed at Rs95.69 (8.13 per cent YTM).

Call rates: Call rates ended at 8.5-8.75 per cent against Tuesday's 8.75-9 per cent. Banks borrowed more than Rs21,000 crore through RBI's repo window.

In the second one-day repo auction, it received and accepted 23 bids for Rs11,780 crore. In the second one-day reverse repo, the central bank accepted and received one bid for Rs25 crore. The CBLO market saw 415 trades aggregating to Rs20,102 crore in the 7.7-8.49 per cent range.
Back to News Review index page  

Bank of Baroda in pact with D&B
Mumbai: Bank of Baroda and Dun & Bradstreet (D&B) have signed an agreement under which D&B will assign ratings to the bank's small-scale industry (SSI) customers. A discount will be offered to BOB customers in addition to the subsidy made available from National Small Industries Corporation (NSIC). The bank's SSI customers will get D&B's globally accepted rating at a special fee and will help rated SSIs establish their credibility on a global platform, get listed on D&B's global database, thus helping them tap global business opportunities said a press release.
Back to News Review index page  

L&T Finance selects Nucleus' solution
Coimbatore: Non-banking finance company, L&T Finance, a wholly owned subsidiary of Larsen and Toubro, has selected Nucleus Software's flagship solution — FinnOne TM Customer Acquisition System — for implementation at its central office in Mumbai with a roll out across 60-plus locations. The solution, according to Nucleus sources, will allow L&T Finance anytime, anywhere access.
Back to News Review index page  

SBI associates to raise Rs3,000 crore
Mumbai: With the Lok Sabha clearing the SBI Subsidiary Bank (Amendment) Bill, the four unlisted associates of the State Bank of India propose to raise Rs2000-3000 crore from the market in the calendar year.

State Bank of Indore, State Bank of Patiala, State Bank of Hyderabad and State Bank of Saurastra are governed by three different acts.

The management of State Bank of India is also mulling options to reorganise the operations of its associates and of the group as a whole. These include consolidation among associate banks, diluting of stake in unlisted associates and a further dilution of its holding in the already listed arms.

Official sources added that the dilution would help the State Bank of India unlock its holdings in the associates and enhance its own capital as well.

Of the seven subsidiaries of SBI, State Bank of Bikaner and Jaipur, State Bank of Mysore and State Bank of Travancore are listed. SBI's stake in these three banks and State Bank of Indore varies between 75 per cent and 98 per cent. It has 100 per cent shareholding in State Bank of Hyderabad, State Bank of Patiala and State Bank of Saurashtra.
Back to News Review index page