Rupee ends near two-week low

Value goes down as importers rush to buy dollars ahead of US debt ceiling deadline

The rupee ended close to a two-week low on Tuesday due to dollar demand by importers as the Street believes US lawmakers would agree on a deal to raise the country’s debt limit, after which the dollar will appreciate against other global currencies. It ended at 61.85 compared to the previous close of 61.55 a dollar. The rupee had opened at 61.28 and in intra-day trades touched a high of 61.97 and a low of 61.28 a dollar. The rupee had ended at 62.47 on October 1.

Bonds maintain downtrend
Government bonds maintained the downtrend on consistent selling pressure from banks and companies. The 7.16 per cent government security maturing in 2023 dropped to Rs 90.35 from Rs 90.86 previously, while its yield gained to 8.66 per cent from 8.57 per cent.

Call rates end higher
Call rates ended higher at the overnight market owing to sustained demand from borrowing banks. The rates finished higher at nine per cent from 8.95 per cent on Tuesday.