The government received bids totaling $7.1 billion on the first day of the sale that began Feb. 3,. Eight companies are participating in the auction. The rupee’s gains were tempered by importers’ dollar purchases.
There will be one more tranche of inflows for the spectrum auction any dips in the dollar-rupee exchange rate will attract importers.The rupee climbed 0.3 percent to 62.3875 per dollar in Mumbai, the biggest gain since Jan. 28 and taking February’s advance to 0.4 percent.
Bonds were little changed from yesterday on optimism funds raised from the spectrum sale will help improve public finances. Demand for the notes was also supported as the government’s annual borrowing program draws to a close this week, with the finance ministry scheduled to make its final issuance for this fiscal year tomorrow.