Rupee closes weaker by 20 paise against USD

Mumbai, Dec 17: The Rupee today closed 20 paise weaker at 39.54/55 per US Dollar from its previous close of 39.34/35, tracking the sharp fall in the Indian equity market.

The partially convertible Indian unit made a weak start against US unit at 39.40 in early trade. Later, it traded in a wide range band of 39.33 to 39.55 per Dollar in a fairly active Inter-bank Foreign Exchange (Forex) market, before ending weak on fresh buyings of dollars in late trade, dealers said.

The six-month forward premium closed lower at 1.95 (1.97) per cent, while annualized premium ended at 1.38 (1.45) per cent.

Meanwhile, the Reserve Bank of India (RBI) today fixed the reference rate at Rs 39.37 per US Dollar. The reference rate was down by two paise as compared to Friday's rate of Rs 39.35 per USD.

A mixed trend was observed in the Rupee's trade against other major world currencies. The Indian unit ended strong at 57.82/83 (57.96/97) against the Euro, while it closed weak at 79.71/71 (79.59/60) per unit against Pound Sterling. Against the Japanese Yen, it ended at 34.84/85 (34.81/82) per hundred units.

UNI