Rupee off near 13-month high as stocks shed gains

Rupee off near 13-month high as stocks shed gains

Mumbai: The rupee came off a near-13-month peak in afternoon trade on Thursday as local shares pared gains on profit-taking and as oil refiners bought dollars to meet import requirements.

At 1 pm, the partially convertible rupee was at 46.01/02 per dollar, off an early high of 45.80, its strongest since 24 September 2008 and above its previous close of 46.13/14.

Shares fell 0.77% in afternoon trade as profit-taking kicked in following their rise to 17-month high the previous session.

The dollar fell to a 14-month low against a basket of currencies on Thursday as comments by the head of Australia’s central bank encouraged investors to buy the higher-yielding Australian dollar, which helped other currencies gain.

One-month offshore non-deliverable forward contracts were quoting at 45.80/90, stronger than the onshore spot rate.

In the currency futures market, the most traded near-month contracts on the National Stock Exchange and MCX-SX were quoting at 46.05 and 46.0525 respectively, with the total traded volume on the two exchanges at about $1.7 billion.