The Hindu Business Line : Rupee strengthens

The rupee strengthened against the dollar on Thursday due to strong FII inflows into the capital market. Although oil companies were seen aggressively buying dollars in the first half, it was not sufficient to meet the heavy dollar supplies, said a forex dealer with a public sector bank. Towards the end of the day, as the rupee gained, nationalised banks bought dollars, on behalf of the Reserve Bank of India, he added. The rupee opened at 40.20 and closed at 40.10, against the previous close of 40.14. During the day it touched a high of 40.03. In the forward premia market, the six-month premium closed at 2.09 per cent (1.74 per cent) and the 12-month at 1.46 per cent (1.29 per cent). The rupee is likely to remain above the 40- mark till the financial year end on March 31, as the RBI will support the dollar, said the dealer. But after that FII inflows will help to gain and touch 39 to a dollar, he added.

— Our Bureau

More Stories on : Forex

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Reliance Money to open branch in Oman

Yields on short-terms down as liquidity eases

2nd list of ‘tainted’ service providers released

Cabinet gives nod for Indo-Japan currency swap pact

Rupee strengthens

HDFC opens branch in Tirupur

Banks asked to assess risks themselves

CUB to offer wealth management

TMB’s branch at Sriperumbudur

Bond yields steady on inflation

Corporation Bank bond issue

Call rates fall

SBI rights issue bonds yield at 8.35%