The rupee attained its highest levels in over a week to close at 53.87 against the American unit on dollar selling by exporters and some banks.

The Indian unit’s sentiment was also boosted on hopes of currency market participants that the Finance Minister will present steps aimed at boosting foreign inflows in his Union budget on February 28.

Foreign Institutional investors have bought $8.4 billion worth of local shares so far this year. In 2012, they purchased $24.55 billion.

The Indian unit opened slightly weaker at 54.22 from previous close of 54.18.

However, month-end demand for dollar from oil importers will exert a downward pressure on the Indian unit.

Intraday, the rupee moved between a high and low of 53.87 and 54.22, respectively.

Call rates, G-Secs

The inter bank call money rates ended higher at 7.85 per cent from the previous close of 7.80 per cent.

The 8.15 per cent government security (G-Sec), which matures in 2022, closed almost flat at Rs 102.28 from the previous close of Rs 102.27. Yields remained unchanged at7.79 per cent.

>satyanarayan.iyer@thehindu.co.in

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