Rupee rebounds from 1-month lows, up 8 p Vs dollar to end at 61.05
Bucking a weak trend in stocks, the Indian rupee on Tuesday recovered from one-month lows to end with a modest gain of eight paise at 61.05 against the Greenback on fresh dollar selling by exporters.business Updated: Sep 16, 2014 18:24 IST
Bucking a weak trend in stocks, the Indian rupee on Tuesday recovered from one-month lows to end with a modest gain of eight paise at 61.05 against the Greenback on fresh dollar selling by exporters.
Persistent capital inflows also aided the rupee rise while the dollar index was almost stable against a basket of six major currencies ahead of the outcome of two-day policy meeting by the US Federal Reserve starting on Tuesday.
At the Interbank Foreign Exchange (Forex) market, the domestic unit commenced strong at 61.02 a dollar from previous close of 61.13, a one-month low.
It was later trapped in a narrow range of 61.01 and 61.1425 before settling at 61.05, a net rise of eight paise or 0.13%.
On Monday, it had plunged 48 paise, or 0.79%, its biggest fall in more than five weeks.
The Indian benchmark S&P BSE Sensex, after tumbling by 244.48 points or 0.90% on Monday, tanked 324.05 points or 1.21% on Tuesday to end at three-week lows.
FPIs/FIIs bought shares worth USD 79.57 million on Monday, as per Sebi data.
Pramit Brahmbhatt, Veracity Group CEO said, "Rupee appreciated on Tuesday even as local equities closed down by over one per cent. Rupee movement was aided by lower trade deficit in August. Dollar index rally slowed down on Tuesday, which further supported the rupee. The trading range for the spot rupee is expected to be within 60.50 to 61.50."
First Published: Sep 16, 2014 10:06 IST