Rupee ends lower at 54.46

Our Bureau Updated - March 12, 2018 at 04:31 PM.

rupee

Paring initial gains, the rupee ended weaker at 54.46 due to dollar buying from British Telecom and defence related purchase deals. On Wednesday, it had closed at 54.32 against the dollar.

The Indian unit, which opened stronger at 54.18 from Wednesday’s close of 54.32 against the dollar as Asian currencies gained against the greenback after the US Federal Reserve extended bond-buying stimulus programme with monthly purchases of $45 billion in Treasury bonds to bolster the economy.

However, defence related dollar buying and less than expected capital inflows from Bharti Infratel’s $830-million initial public offering (IPO) dragged the rupee,” said a chief dealer of a public sector bank.

Further, hopes of a rate cut being delayed to January due to slower growth rate and no signs of inflation moderation, moderated the rupee gains.

Intra-day, the rupee touched a high of 54.10 and a low of 54.51 per dollar.

“The rupee will remain range bound, while dollar demand from importers will keep it below 54 levels,” the dealer said.

Call rates and G-Secs

The call money market ended flat from yesterday’s close of 8.10 per cent. It moved in the range of 7.70 to 8.10 per cent during the day.

The 10-year benchmark 8.15 per cent bond, which matures in 2022, was trading higher at Rs 99.94 (yield: 8.15 per cent) from its previous close of Rs 99.81 (yield: 8.18 per cent) on Wednesday.

Beena.parmar@thehindu.co.in

Published on December 13, 2012 10:30