The rupee fell to a near six-month low on Wednesday at 55.49 against the dollar due to on month-end demand for the American currency and weak domestic equity market.
The domestic unit opened at 55.36 as against a close of 55.40 on Tuesday. The unit has been impacted by a yawning gap in current account and the perpetual need to finance the gap with dollar inflows.
Intra-day, the rupee moved 29 paise in the range of 55.35 and 55.64 per dollar at the Interbank Foreign Exchange Market.
The rupee strengthened in the afternoon trades after the US dollar fell against other major currencies as US Federal Reserve maintained a dovish stance on its monetary easing plans.
However, capital outflows in the domestic market weighed on the rupee.
Call rates, G-Secs
The inter-bank call money rates gained slightly at 7.30 per cent from Tuesday’s close of 7.25 per cent. The call money market moved in a narrow range of 7.20 to 7.35 per cent during the day.
The benchmark 8.15 per cent government security, which matures in 2022, ended lower at Rs 105.10 from previous close of Rs 105.21. Yields increased to 7.36 per cent from 7.35 per cent.