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Rupee rises against dollar on hopes of high capital inflows from NTPC share sale

06 Feb 2013 Evaluate

Breaching the 53-mark in its opening trade, Indian rupee strengthened against dollar on continued selling of the American currency by exporters and banks amid increased capital inflows. Investor’s sentiments were boosted with the optimism that the nation’s largest state asset sale in a year will attract more foreign capital, as Ministers approved an offering of government shares worth Rs 120 billion in NTPC.  Meanwhile, positive local equity markets also supported the local markets.

The partially convertible currency is currently trading at 53.09, stronger by 4 paise from its previous close of 53.13 on Tuesday. The currency has touched a high and low of 53.11 and 52.90 respectively. The Reserve Bank of India's (RBI) reference rate for the dollar stood at Rs 53.29 and for Euro it stood at Rs 71.87 on February 5, 2013. While, the RBI’s reference rate for the Yen stood at 57.71, the reference rate for the Great Britain Pound (GBP) stood at 83.9655. The reference rates are based on 12 noon rates of a few select banks in Mumbai.

Date

1US$

1GBP

February 5, 2013

53.29 83.9655

February 4, 2013

52.97

83.1703

(RBI-reference rate)

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