Indian rupee hits 1-month high against dollar, pares gains after Raghuram Rajan comments

Written by Agencies | Mumbai | Updated: Sep 15 2014, 19:25pm hrs
RupeeThe rupee had gained 28 paise to end strong at 60.65 against the Greenback on Friday. (PTI)
The Indian rupee rose to as much as 61.11, the highest since August 14, paring some gains after RBI Governor Rajan's comments

Rajan said India's macroeconomic indicators are improving and inflation has been coming down. CPI data on Friday, WPI data on Monday have limited impact.

Rupee falls track weaker emerging Asian currencies.

Indian rupee falls 32 paise against US dollar in early trade

The rupee depreciated by 32 paise to 60.97 against the US dollar in early trade today at the Interbank Foreign Exchange due to increased demand for the US currency from importers amid a weak opening in the domestic equity market.

Forex dealers said besides fresh demand from importers for the American unit, a lower opening in the domestic equity market as well as decline in industrial production growth to 4-month low of 0.5 per cent in July, put pressure on the rupee.

However, the dollar's gain against the euro overseas, capped the losses, they said.

The rupee had gained 28 paise, notching up its best daily gain in a month, to end strong at 60.65 against the Greenback in the previous session on Friday on heavy dollar selling by banks and exporters amid positive cues from equity markets.

Meanwhile, the benchmark BSE Sensex dipped below the 27,000-mark by falling 185.55 points, or 0.69 per cent, to 26,875.49 in early trade today.