Rupee falls 3 p on $ demand

Written by Press Trust of India | Mumbai | Updated: Feb 7 2013, 07:07am hrs
Rupee on Wednesday slipped from around four-month high level to close three paise down at 53.16 due to fag-end dollar demand from oil importers and strengthening of the US currency against euro. Forex dealers said, however, sustained foreign fund flows capped rupees fall to some extent.

The domestic currency commenced the day strong at 52.96 from Tuesdays close, when it had hit an over three-and-a-half-month high of 53.13.

At the Interbank Foreign Exchange (Forex) market, it hovered in a narrow range of 52.89-53.26, before settling down at 53.13, a loss of three paise, or 0.06%. Foreign institutional investors pumped in $92.03 million (R489.27 crore) into local stocks, according to BSE provisional data.

The euro fell by 0.4% to 1.3528 toward a one-week low versus the dollar as European Central Bank policymakers prepare to meet tomorrow amid political and banking turmoil that threatens to renew the regions sovereign-debt crisis.

Dollar index, a barometer of six major global rivals, was up 0.25%.