Re down 3 paise on $ demand from oil cos

The rupee on Wednesday slipped from a four-month high level to close three paise down at 53.17 due to fag-end dollar demand from oil importers and strengthening of the US currency against the euro.

Forex dealers said, however, sustained foreign fund flows capped rupee’s fall to some extent.

The domestic currency commenced the day strong at 52.96 from yesterday’s close, when it had hit an over three-and-a- half-month high of 53.13.

At the Interbank Foreign Exchange market, it hovered in a narrow range of 52.89-53.26, before settling down at 53.13, a loss of three paise, or 0.06 per cent.

Bonds remain up

Government securities (G-sec) surged on sustained buying from banks and companies. The 8.20 per cent G-sec maturing in 2025 shot up to Rs 101.65 from Rs 101.52 yesterday, while its yield edged down to 7.99 per cent from 8.01 per cent.

Call rates end higher
Call money rates also ended higher at the overnight market here on Wednesday due to good demand from borrowing banks.

The rate finished higher at 7.90 per cent from yesterday close of 7.80 per cent. It moved in a range of 8.25 per cent and 7.65 per cent.