Rupee Up A Touch In Dull Trading

FOREX REPORT

The rupee marginally firmed against the dollar in quiet trade yesterday, foreign exchange dealers said. It closed at 42.45-48 against 42.55-60 on Friday. The forward rupee also hardened particularly for near maturities on account of exporter sales. Premiums closed at: one-month - 15.83 per cent (18.97 per cent on Friday); three-month - 11.81 per cent (13.93 per cent); six-month - 10.99 per cent (12.29 per cent); nine-month - 11.0 per cent (11.84 per cent); 12-month - 10.74 per cent (11.55 per cent). The Indian currency opened at 42.55-58 and steadily firmed in a near-absence of demand. While the State Bank of India (SBI) bought dollars, its actions had little impact on the market. "The market is still wary after the Reserve Bank of India's (RBI) rescue package week," a dealer said.

Cash-tom closed at 0.25/1.00 paise, tom-spot at 1.25/1.5 paise, and cash-spot at 1.5/2.5 paise. The RBI mid-day reference rate was 42.48 against 42.57 on Friday. Near-term dollar premiums eased on exporter-selling interest. But buying interest was limited as the premiums still ruled at unviable levels, dealers said. Premiums dipped by 10-60 paise across maturities. Premiums (in paise) closed at: August - 7-10; September - 60-65; October - 96-101; November - 127-132; December - 163-168; January - 203-208; February - 236-241; March - 276-281; April - 311-316; May - 352-357; June - 387-392; July - 422-427. In the crosses, the rupee closed at 69.59 against the pound, 23.65 against the mark, and 29.52 per 100 yen.