India Stocks, Rupee, Bonds, Swap, At Midday (27 MAR)

India Stocks, Rupee, Bonds, Swap, At Midday (27 MAR)

27 Mar 2020 01:09 PM

RUPEE: The Indian rupee was off highs at 74.76/74.77 to the dollar against 75.15/75.16 in the previous session, as foreign banks’ dollar purchases amid a retreat in local shares trimmed early gains due to a slide in the dollar index.

STOCKS: The benchmark BSE Sensex and the broader NSE index were trading 0.8% and 0.2% lower, respectively, as traders booked profits after sharp rally in last two sessions and earlier today, as the country’s rate-setting panel cut key interest rate by 75 basis points to a record low and provided some moratorium on bank loans. HDFC Bank, Bharti Airtel and Reliance Industries led losses.

GOVERNMENT BONDS: The benchmark 6.45% bond maturing in 2029 was higher at 102.69 rupees, yielding 6.07%, against 101.60 rupees and 6.22% yield at previous close, as the MPC slashed repo rate by 75 bps to a record low of 4.40%, along with cut in cash reserve ratio of banks by 100 bps. The benchmark yield had briefly fallen below 6% to its lowest level since January 2009.

INTEREST RATE SWAPS: The one-year swap rate slumped 26 basis points to 4.20% against 4.46% at previous close, while the benchmark five-year rate plunged 37 bps at 4.74% against 5.11% in the previous session.