Financial Daily from THE HINDU group of publications
Saturday, Nov 12, 2005
Financial Daily from THE HINDU group of publications Saturday, Nov 12, 2005 |
|
|
|
|
|
|
|
Money & Banking
-
Forex Fall in currency assets pulls down forex reserves by $1 b Our Bureau
Mumbai , Nov 11 THE country's forex reserves dipped by over $1 billion during the week ended November 4, due to a fall in foreign currency assets. According to the weekly statistical supplement from the Reserve Bank of India, the foreign exchange reserves fell by $1.156 billion to touch $142.618 billion. In the previous week, the reserves had increased by $678 million to $143.774 billion. The foreign currency assets dropped by $1.212 billion to touch $136.42 billion for the week under review. Foreign currency assets expressed in dollar terms include the effect of appreciation or depreciation of non-US currencies (such as the euro, the sterling and the yen) held in reserves. Gold increased by $152 million to $4.864 billion while SDRs were unchanged at $4 million. The country's reserve position in the IMF, however, fell by $96 million to touch $1.33 billion. According to the chief of treasury of a private bank, the reasons for a fall in the reserves could have been a revaluation effect since the dollar gained against all other currencies by around 200 basis points. Besides, the rupee depreciated by almost 50 paise in the week under review and the RBI could have stepped in to sell dollars. The official added that the fall in the reserves could have also been due to payments made towards servicing debt and defence requirements. As per figures from SEBI, the foreign institutional investor inflow into the equity market for the week under consideration was $65.3 million. In terms of the outlook for the rupee, the treasury head said that the range off 45.50-46 should be the right range for the rupee.
Article E-Mail :: Comment :: Syndication :: Printer Friendly Page
|
Stories in this Section |
|
The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription Group Sites: The Hindu | Business Line | The Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |
Copyright © 2005, The
Hindu Business Line. Republication or redissemination of the contents of
this screen are expressly prohibited without the written consent of
The Hindu Business Line
|