Mumbai: The rupee weakened on Tuesday on customary month-end dollar buying by refiners to pay for imports, but higher share prices helped check its losses. The partially convertible rupee ended at 48.10/11 per dollar, about 0.3% weaker than its Friday’s close of 47.97/98. The rupee market was closed on Monday.
“There was heavy buying of dollars by refiners. Stock market gains were not enough to offset them,” said a senior trader with a foreign bank.
Oil refiners, who are the largest buyers of dollars in the local market, tend to pump up dollar purchases at the end of each month when they have to make import payments. India imports more than two-thirds of its oil requirements.