Mumbai: The rupee was almost steady on Wednesday as strong local shares helped offset the impact of euro’s loss against the dollar and weak regional currencies.
At 2:45pm, the partially convertible rupee was at Rs 44.9150/9200 per dollar, a tad stronger than Tuesday’s close of Rs 44.9550/9650.
Shares firmed 0.9% on Wednesday, tracking Asian stocks that reversed early losses, and as investors looked for bargains in a market that has underperformed so far this year.
The euro weakened broadly on Wednesday ahead of a crucial vote in the Portuguese parliament that could bring down the government, a sharp reminder to investors of the seriousness of the euro zone’s debt crisis.
The index of the dollar against six major currencies was up 0.09% at 75.527.
Most Asian currencies were weaker against the US dollar.
The one-month onshore forward premium was stable at 30.50 points, while the three-month premium was at 86 points versus 82.25 and the one-year was at 294.50 points from previous 291.
The one-month offshore non-deliverable forward contracts were quoted at 45.20, weaker than the onshore spot rate.
In the currency futures market , the most traded near-month dollar-rupee contracts on the National Stock Exchange, the MCX-SX and the United Stock Exchange were all at 44.9750, with the total volume at about $4.8 billion.