Holiday Mood Keeps Rupee Steady

FOREX REPORT

The rupee held steady against the dollar yesterday in uneventful trade on the first day of the Diwali week, foreign exchange dealers said. They said trade would be low-key this week because of three holidays.

The rupee closed firm at 42.29-30 as against 42.30-31 on Friday, the previous trading day.

The forward rupee also held firm on corporate sales, they added. Dollar premiums closed at: 1-month - 5.90 per cent (5.60 per cent on Friday); 3-month - 6.75 per cent (6.72); 6-month - 7.90 per cent (7.86); 9-month - 8.30 per cent (8.57), and 12-month - 8.03 per cent (8.54).

 

Spot rupee opened at 42.29-30. Dealers said there were steady dollar supplies which met the intermittent demand witnessed. The exchange rate was held in the 42.285-42.31 range, dealers said. They reported no major deals.

Cash-tom was .75/2 paise, tom-spot was 1.25/2 paise, and cash-spot was 2/4 paise.

The RBI's mid-day reference rate was unchanged at 42.30 as against 42.30 on Friday.

Dollar premiums firmed on merchant forward sales by four to eight paise from the medium to far term, dealers said.

Premiums (in paise) closed at: Nov - 21-24; Dec - 46-49; Jan - 74-77; Feb - 102-107; Mar - 134-139; Apr - 167-172; May - 199-204; Jun - 231-236; Jul - 263-268; Aug - 296-301; Sep - 328-333.

In the crosses, the rupee closed at 72.10 against the British pound, 25.88 against the German mark, and 36.14 per 100 Japanese yen.