| Date: |
02-11-2010 |
| Subject: |
Rupee Sheds 4 paise to 44.47/48 Against US Dollar |
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MUMBAI: The rupee shed 4 paise to 44.47/58 against the US dollar in a lacklustre trading session at the Interbank Foreign Exchange on Monday amid mild dollar demand despite a firm trend in domestic equity markets.
The domestic currency opened higher at 44.35/36 a dollar against last weekend's close of 44.43/44. It moved between a high of 44.35 and a low of 44.48 before concluding the day at 44.47/48.
Despite a smart rise in the Bombay Stock Exchange benchmark Sensex, the rupee remained under pressure due to dollar demand from banks and importers, as well as a firming trend in the American currency overseas.
The bellwether Sensex today ended higher by over 323 points, or 1.61 per cent.
Forex dealers said sustained capital inflows cushioned the rupee's fall to some extent.
Foreign Institutional Investors (FIIs) have infused a record sum of over $25 billion in domestic equities in the current calender year so far.
The dollar index, consisting of six major currencies, was up by 0.11 per cent in London today. Meanwhile, global crude oil was trading above $82 a barrel.
The rupee premium for the forward dollar dropped further today on sustained receivings by exporters. The benchmark six -month forward dollar premium payable in April ended lower at 136-137-1/2 paise from 141-143 paise on last Friday and the premium on far-forward contracts maturing in October also closed down at 241-243 paise from 246-248 paise previously.
The Reserve Bank of India has fixed the reference rate for the dollar at Rs 44.42 and the euro at Rs 62.16.
In cross-currency trade, the domestic unit declined against the pound sterling, the euro and the Japanese yen.
The rupee remained under pressure and dropped to Rs 71.37/39 against the pound sterling from last Friday's close of Rs 70.79/81. It also dipped to Rs 62.04/06 against the euro from Rs 61.53/55 previously.
Furthermore, the rupee moved down further against the yen to Rs 55.35/37 per 100 yen from its last close of Rs 55.01/03.
Source : economictimes.indiatimes.com
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