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Rupee fell on month end dollar demand

24 Jan 2013 Evaluate

Indian rupee depreciated against US currency on Thursday, ahead of the long weekend. Weakness in local equity markets and month-end demand for the American currency from oil importers pressurized the domestic unit. Investors were trading cautiously ahead of Reserve Bank of India's third-quarter monetary policy meeting on Tuesday. Rupee is likely to get some support on a policy rate cut after nearly a 10-month-long hiatus. Meanwhile, euro’s weakness against the dollar overseas also added to the rupee’s losses.

The partially convertible currency is currently trading at 53.83, weaker by Rs 16 paise from its previous close of 53.67 on Wednesday. The currency has touched a high and low of 53.88 and 53.72 respectively. The Reserve Bank of India's (RBI) reference rate for the dollar stood at Rs 53.77 and for Euro it stood at Rs 71.56 on January 23, 2013. While, the RBI’s reference rate for the Yen stood at 60.96, the reference rate for the Great Britain Pound (GBP) stood at 85.1356. The reference rates are based on 12 noon rates of a few select banks in Mumbai.

Date

1US$

1GBP

January 23, 2013

53.77 85.1356

January 22, 2013

53.51

84.8478

(RBI-reference rate)

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