Indian Currency Marks Its Closure At 46.94 Vs Dollar

Indian Currency Marks Its Closure At 46.94 Vs DollarIndian current on Friday dropped to a 26-week low at 46.94 against the dollar after shedding 14 paise on heavy buying of the greenback by foreign banks.

The Rupee started the day on a low note at 47.10 a dollar and then fluctuated in a broad range between 46.76 and 47.33 in intra day trade.

The Indian unit made some recovery from its lowest level in six-and-a-half months, on the back of dollar selling by exporters but losses in domestic shares and the U. S. unit gains against some majors continued to weigh.

The partially convertible rupee marked its closure at 46.94/95 per dollar, lower than its last close of 46.81/82.

Earlier, Indian rupee remained up for a short time period surging to the day's high of 46.76.

During morning trade, the rupee declined to 47.33, its lowest since Nov 3, 2009. The index of the dollar against six major currencies remained up by 0.3%.

One-month offshore non-deliverable forward contracts stood at 47.17, weaker than the onshore spot rate, suggesting a bearish near-term outlook. The one-month onshore forward contracts were dealt at 47.05, providing a good arbitrage opportunity to investors having access to both markets.

Indian stock markets trimmed its losses to about 0.4%, after declining more than 2% early on the back of rising foreign fund withdrawals and sliding world markets.

Against Euro, the rupee ended at 58.72/74 (57.80/82) per unit, Pound sterling at 67.36/38 (66.88/90) per unit and Yen at 52.42/44 (51.62/64) per 100 units. (With Inputs from Agencies)