Rupee weakens tracking local shares

Rupee weakens tracking local shares

Mumbai: The Indian rupee traded weaker in afternoon session on Friday tracking losses in the local sharemarket, which raised concerns about capital outflows, while dollar demand from some foreign banks also weighed.

At 3:15pm, the partially convertible rupee was at Rs48.32/33 per dollar, weaker than its previous close of Rs48.11/12.

Shares fell 0.8% in choppy trade on Friday as jitters poor rains will hit economic recovery and downbeat US data soured sentiment, a day after the market rose 3.3% to its best close in more than a week.

In the currency futures market, the most traded near-month contract on the National Stock Exchange and MCX-SX was quoting at Rs48.3550 each, with the total traded volume on the two exchanges at about $1.1 billion.

One-month offshore non-deliverable forward contracts were quoting at Rs48.30/40, marginally weaker than the onshore spot rate.