The rupee was trading strong by 29 paise at 62.21 against the dollar at 3.46 p.m. local time due to continued dollar selling by banks and exporters. The rupee opened 5 paise strong at 62.45 as against the previous close of 62.50 per dollar on the back of a strong euro and a weak American dollar. The domestic unit hovered in the range of 62.15-62.45 levels during the afternoon session. Apart from strong euro and weak American dollar, RBI’s intervention to stem the rupee’s slide boosted the sentiment. “Rupee is seen appreciating for the third straight session against the US dollar after hitting 63 levels in the last week. Importers are suggested to cover on dips near 62.30 to 62.20 levels. Exporters should wait for the levels of 63 plus for covering their exposure,� according to Niki Mistry, analyst with India Forex Advisors. Going ahead this week, market players will keenly watch India's September quarter GDP figures due to be released on Friday. Call rates and G-Secs The overnight call money rate, the rate at which banks borrow short-term funds from each other, was trading marginally higher at 8.65 per cent from the previous close of 8.70 per cent. The call money market has largely remained flat over last week. Prices of widely traded security 8.83 per cent maturing in 2027 were trading higher at Rs 100.83 from Tuesday’s close of Rs 100.60 from, while the yields were a tad softer at 8.70 per cent from 8.73 per cent. Yields on the 10-year benchmark government security, 7.16 per cent maturing in 2023, softened to 9.01 per cent from the previous close of 9.04 per cent. Prices of 8.28 per cent security, maturing in 2027, were also trading stronger at Rs 93.63 from Rs 93.40. Yields softened to 9.09 per cent from 9.12 per cent.

Source