The rupee fell the most in over a month on Friday at 53.51 against the dollar, extending its losses for a third session, on a weaker euro and domestic equity markets.

Capital outflows and euro’s decline to a near a two-week low were a drag on the Indian unit. In the opening trade, the rupee slipped 22 paise to trade at 53.44 from a close of 53.22 on Thursday after the Government lowered the advance GDP estimate to a decade low of 5 per cent.

The Euro weakened as the European Central Bank Chairman said that he would monitor the impact of the currency's strength and will alter the risk assessment as far as the price stability is concerned.

The Indian unit moved in the range of 53.65 to 53.42 to the dollar during the day.

Investors will watch out for inflows from other upcoming share sale like MMTC and SAIL among others that may further boost the rupee.

Call Rates and Government Bonds

The inter-bank call money market closed higher at 7.80 per cent from yesterday’s close of 7.50 per cent. Intra-day, it moved in the 7.50 to 7.85 per cent range

The 10-year benchmark 8.15 per cent government security, which matures in 2022, closed at Rs 101.98 from Thursday’s close of Rs 101.76, while the yields ended lower at 7.84 from 7.87 per cent.

(This article was published on February 8, 2013)
XThese are links to The Hindu Business Line suggested by Outbrain, which may or may not be relevant to the other content on this page. You can read Outbrain's privacy and cookie policy here.