Tuesday, March 31, 2009

Rupee Plunges 60 Paise To End Above 51 – March 31 , 2009

The rupee on March 30 dropped by 60 paise to close above 51 to the greenback at 51.18/19, following a sharp fall in equity markets amid month-end dollar demand. Besides this, a firm dollar overseas against its major rivals also put pressure on the rupee. The month-end dollar demand from oil refiners as well as other importers for their import payments also put some pressure on the rupee.

At the Interbank Foreign Exchange (Forex) market, the domestic currency resumed weak at 50.90/92 a dollar against its previous close of 50.58/59 and moved in a range of 50.87 and 51.32 a dollar. It closed at 51.18/19, a steep fall of 1.19 per cent over its previous close.

The forex dealers said the rupee came under heavy selling pressure as equity markets displayed distinctly weak trends after last week''s strong rally.

No comments: