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Rupee turns weaker, dips by 55 paise to 48.83/84 a dollar.


Date: 13-01-2009
Subject: Rupee turns weaker, dips by 55 paise to 48.83/84 a dollar
Mumbai, Jan 12 (PTI) The Indian rupee moved in tandem with local stocks and lost 55 paise to end at 48.83/84 against the US currency today on hectic dollar coverings by corporates as well as demand from oil refiners.
Dealers at the Interbank Foreign Exchange (forex) market said the domestic unit failed to sustain its Friday's recovery as equity markets fell sharply, raising fresh fears of capital outflows after Satyam Computer's shocking accounting scam.

They said some leading corporates heavily covered dollar positions after they sold the greenback last weekend, exerting pressure on rupee sentiment.

Oil refiners too bought dollars in small lots as global crude oil prices traded at around USD 40 a barrel in Asian trade during the day.

In active trade, the rupee moved in a range between 48.38 and 38.87 during the day after resuming weak at 48.53/55 a dollar from its last weekend's close of 48.28/29 a dollar.

The Reserve Bank of India, however, fixed the reference rate for the US dollar at Rs 48.60 and for the euro at Rs 65.10.

The Indian benchmark Sensex today closed down 296.42 points or 3.15 per cent amid sluggish Asian markets.

Analysts said the Satyam accounts scandal triggered fears of more capital outflows from equity markets even as some leading fund managers ruled out possibility of any such adverse impact on portfolio investments. PTI


Source : Press Trust Of India


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