Mumbai: Forex reserves fell by $560 million to touch $263.917 billion for the week ended July 10, according to the latest figures from the Reserve Bank of India. The moderate fall in reserves is mainly on account of currency revaluation, said a forex dealer with a private bank.
This is the second consecutive week that forex reserves have declined.
In the earlier week, the foreign exchange reserves had fallen by $107 million to $264.477 billion.
In the week under consideration, foreign currency assets fell by $559 to $252.873 billion. Foreign currency assets expressed in US dollar terms include the effect of appreciation or depreciation of non-US currencies such as Euro, Sterling and Yen held in reserves.
Gold and SDRs were unchanged at $9.8 billion and $1 million respectively.
The reserve position in the IMF fell by $1 million to $1.243 billion.
Next week, the rupee movement will depend on the domestic stock market, the dealer said. "The rupee could be under pressure because of month-end demand. It could fall to 48.85-49," the dealer said.
Source : Sify