The rupee closed weaker at 332.20/35 to the US dollar in the spot market on Thursday, from 331.90/332.05 at Wednesday’s close, while bond yields closed steady to higher across the curve, EconomyNext reported at 9.36 p.m.
The move is a depreciation of 30 cents on both the bid and the offer, or about 0.09 per cent.
A note on Wednesday’s number
This desk recorded Wednesday’s rupee at 331.87/95. That is not in conflict with Thursday’s stated previous close of 331.90/332.05: Wednesday’s filing was a mid-session quote taken while the Rs 100 billion Treasury bill auction was still running, and it said so. Between that quote and the close, the rupee eased a further 3 cents on the bid and 10 cents on the offer.
Measured from the close, Thursday’s depreciation is 30 cents. Measured from Wednesday’s mid-session quote it would be 33 cents. The first is the right comparison.
Every “up” is measured from a lower base
The same distinction runs through the bond table, and it is the more interesting half of the session. Setting Thursday’s quotes beside the previous close EconomyNext gives, and beside this desk’s recorded Wednesday mid-session quotes:
| Maturity | Thursday | Wed close (per EN) | Wed mid-session (this desk) |
|---|---|---|---|
| 15.09.2029 | 11.05/15 | 11.05/15 — flat | 11.05/15 |
| 01.08.2030 | 11.55/60 | 11.50/60 | 11.55/65 |
| 15.10.2030 | 11.60/70 | 11.55/65 | 11.60/70 |
| 01.12.2031 | 11.90/12.00 | 11.80/90 | 11.85/93 |
| 15.01.2033 | 12.20/25 | 12.13/18 | 12.15/25 |
| 15.10.2034 | 12.40/50 | 12.30/40 | 15.09.2034 at 12.40/50 |
On all five maturities with a comparable mid-session reading, the Wednesday close sits at or below the mid-session bid — by 3 to 10 basis points. The curve softened through Wednesday afternoon after the auction quotes were taken, and Thursday’s rises are measured from that softer base.
Two maturities are worth separating out. The 15.10.2030 at 11.60/70 and the 2034 at 12.40/50 are quoted on Thursday at exactly the levels this desk recorded mid-session on Wednesday. On those two, the week’s net movement is zero; only the close in between was lower.
The 2034 line is also not the same bond. Wednesday’s filing quoted a 15.09.2034 maturity; Thursday’s quotes a 15.10.2034. They are listed in the same position on the curve but are different securities, so the comparison in that row is indicative only.
Context
Thursday’s session also saw the All Share Price Index fall 1.05 per cent to 19,717.92, a fourth consecutive losing session, on turnover of Rs 1.1 billion. EconomyNext’s market report carries the same index figures.
On the government securities side, the debt office raised Rs 80.61 billion of a Rs 100 billion bill offer on Wednesday and sold a further Rs 2.28 billion on tap on Thursday.
Not reported
The filing does not give the day’s traded volume in the spot market, any indication of Central Bank participation, or dealers’ reasoning for the move. It does not say whether the 15.09.2034 maturity quoted on Wednesday is still trading, or why it was replaced in the list by the October 2034 bond.
No reason is given for the uniform mark-up across the curve, and no foreign participation figures are reported.