Eyes Glued To The Us-Iraq Situation

The rupee is likely to trade in a range of 47.62-75 per dollar this week. Increasing tensions on the US-Iraq front could have an effect on the currency.

Dealers are keeping a close tab on the speeches made by the US and its allies on the one hand and the UN weapons inspectors along with Russia and France on the other.

The rupee had closed at 47.65 per dollar on Friday after sniffing an intra-day low of 47.6925. It had touched a high of 47.6250/63 last week.

Dealers said that there was no major demand for greenbacks last week.

On Friday, however, when the rupee crossed the 47.67 mark, importers started booking forward and exporters started cancelling.

But a few big exporters took fresh exposure.

Dealers said some of the oil companies also started selling dollars.

Major currencies had started appreciating against the dollar in Friday on the back of reports that the US may go in for a war even if it does not get support.

The euro touched a high of 1.1065 against the dollar before closing at 1.10, while against the pound it touched a high of 1.6090 before closing at 1.6025.

The currencies dropped back after the United Nations