An employee uses an electronic machine to check a rupee note inside a bank in Allahabad.The rupee is trading at 55.52/54 versus the dollar, in line with Friday's close of 55.54/55, after rising to a session high of 55.26 on dollar selling by exporters and corporates, but global risk aversion hurts demand for risk assets such as the rupee.The rupee is still well off record low of 56.52 hit on Thursday, as dollar demand from oil firms wanes at the start of the month amid lower crude oil prices.Pictures by Reuters

June 4: Rupee flat, off recent low

<bA man walks past a logo of the Reserve Bank of India (RBI) in front of its building in Kolkata.

Liquidity in India&#39;s banking system is in "comfort zone" as of now, a deputy governor of the RBI said on Monday, citing a recent drop in banks&#39; daily borrowings from the Reserve Bank of India and steady overnight cash rate.

Subir Gokarn also said the RBI has the option of buying bonds through open market operations if stress emerged on liquidity.

Government bond yields nudged up slightly after his comments, as expectations for a reduction in the cash reserve ratio waned.

Gokarn was speaking to reporters on the sidelines of an investor event.

RBI says liquidity is in "comfort zone"

Gold bars are displayed at a gold jewellery shop in Chandigarh.

Gold futures in India fell on Monday, after coming close to a record high in the last session, due to a firm rupee and a drop in global prices, although physical traders waited for more price falls before booking deals.

The most-active gold for August delivery on the Multi Commodity Exchange (MCX) was 0.46% lower at Rs 29,962 per 10 grams. It touched a high of Rs 30,156 in previous session, coming close to the record of Rs 30,200 hit in early December last year, according to Reuters data.

The rupee, which rose to its highest level in a week, plays an important role in determining the landed cost of the dollar-quoted yellow metal.

Gold edges down, traders await more falls

Passengers sit in the cabin of an IndiGo Airlines aircraft as a flight attendant serves snacks after takeoff from Kolkata.

The civil aviation ministry has proposed slashing state taxes on jet fuel, which may significantly bring down costs for ailing local airlines that are reeling under a debt load of $20 billion and annual losses of $2 billion.

The ministry has sought opinion from stakeholders on reducing state taxes on jet fuel to a uniform 4%, according to a discussion paper posted on its website.