| Date: |
06-02-2014 |
| Subject: |
Rupee opens higher at 62.4 per dollar |
|
Mumbai: The Indian rupee on Thursday opened higher against the US dollar on expectations that the government will meet its fiscal deficit target for 2013-14.
It opened at 62.4 a dollar against its Wednesday’s close of 62.58.
Such expectations have increased after the success of the governments ongoing telecom spectrum auctions.
Expectations are that the government will collect upwards of Rs.40,000 crore anyway from the auction which will help it breach its deficit.
On Wednesday, the Reserve Bank of India (RBI) had cancelled a government bond auction worth Rs.15,000 crore, noting the government’s “cash position and funding requirement”. The cancellation of the auction will result in the government’s market borrowing decreasing by Rs.15,000 crore, RBI said
At 9.09am, the local unit was trading at 62.42, up 0.25% from previous close. India’s benchmark index, Sensex was trading at 20,286.09 points, up 0.12%.
The yield on India’s 10-year benchmark bond was trading at 8.687%, compared with its Wednesday’s close of 8.711%.
The dollar index, which measures the US currency’s strength against major currencies, was trading at 81.06, up 0.04% from the previous close of 81.03.
Source : livemint.com
|