BackRupee closes up 0.14% due to foreign banks’ dollar sales
The rupee ended at 61.9588 per dollar on Monday, up 0.14% from its previous close of 62.04
Premium
Mumbai: The rupee closed at 61.9588 per dollar, up 0.14% from its previous close of 62.04 on Monday mainly due to dollar sales by foreign banks, most likely on behalf of their clients.
It opened at 62.075 and touched a high and a low of 61.835 and 62.075 respectively. The rupee has fallen 11.47% year-to-date.
“Dollar supply is surely outweighing the demand currently. There are some European banks on the sell side which has kept the support for the rupee," said a dealer with a French bank who didn’t want to be named.
Foreign banks could be selling dollars on behalf of foreign institutional investors that want to buy more of Indian shares as the local stock market is near all-time highs.
The dollar index, which measures the US currency’s strength against major currencies, was trading at 80.466, down 0.14% from its previous close of 80.575.
The BSE’s 30-share benchmark index Sensex ended at 21101.03 points, up 0.10%.. Yield on the 10-year bond ended at 8.816%, compared with its Friday’s close of 8.797%.
Trade was thin in the foreign exchange market as many dealers were on year-end holidays.
Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!
