Rupee rallies on fund inflows

Our Bureau Updated - March 12, 2018 at 03:39 PM.

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The rupee ended higher at 53.19 against the dollar as more investors poured money into the domestic markets. Oil India’s offer-for-sale, which was also open to foreign investors, was over subscribed more than two times. The Indian unit had closed at 53.21 on Thursday. Foreign funds have bought more than $4.5 billion worth of shares and debt in January, helping the rupee gain 3.3 percent in the first month of 2013, making it the best performing Asian currency, Reuters reported. The rupee was also helped by weakness in the dollar index, after the strong economic data from the Euro Zone helped the Euro to gain against the US currency. Currency traders will now eye the US non-farm payrolls data to be released. Also, stake sale in state-owned NTPC is likely to attract more inflows into the domestic markets.

According to analysts, the rupee has good support at 53.20 level.

Call rates, G-Secs

The inter-bank call rates closed a tad lower at 7.78 per cent from previous close of 7.80 per cent. The 8.15 per cent government security, which matures in 2022, closed a shade higher at Rs 101.58 (yield: 7.91 per cent) against the previous close of Rs 101.54 (yield: 7.91 per cent).

Published on February 1, 2013 04:39