Rupee crosses 63 level, RBI steps in

Written by ENS Economic Bureau | Mumbai | Updated: Nov 23 2013, 20:28pm hrs
The rupee recovered after breaching the 63 level against the dollar and ended with a six-paise gain at 62.87 after the Reserve Bank of India stepped in to stem the fall.

When the rupee hit 63.08, the RBI sold dollars through state-run banks. Fresh capital outflows and almost flat local equities restricted the rupees rise, a forex dealer said.

The S&P BSE Sensex, meanwhile, opened higher and climbed as much as 159 points amid firm global trends. Selling in the last 90 minutes pulled the index down and it ended at 20,217.39, a fall of 11.66 points. The CNX Nifty on the NSE fell 3.6 points to 5,995.45. The RBI seems to be defending the rupee at the 63 level. It doesnt want the rupee to fall beyond this mark. Its position is comfortable as inflows have increased and current account deficit is under control, said an analyst with a bank.