Rupee recuperates from historic lows on Wednesday

Some respite finally came to the Indian currency markets, days after mauling as Indian rupee after making fresh lows for past two consecutive sessions, recuperated from its historic low level on Wednesday on speculation of RBI’s intervention. Selling of dollars from state run banks snapped the eight day long losing streak of the rupee. However, the sluggish trend of local equities coupled with subdued regional counterparts kept the Indian currency above the psychological 52 mark. On the global front, euro fell to a six-week low  against the dollar on Wednesday, as investors shunned euro zone  assets on concerns over the stability of the region's banks and signs that its debt crisis is starting to threaten even Germany.

Finally the rupee ended at 52.35, stronger by 8 paise from its previous close of 52.43 on Tuesday. It has touched a high and low of 52.57 and 51.70 respectively. The Reserve Bank of India's reference rate for the dollar stood at Rs 52.10 and for Euro it stood at 70.07 on November 23, 2011. While, the RBI's reference rate for the Yen stood at 67.61 and the reference rate for the Great Britain Pound (GBP) stood at 81.3028. The reference rates are based on 12 noon rates of a few select banks in Mumbai.