Mumbai, Nov 24 (UNI) The rupee today closed softer at 50.10/11 against per US dollar, as a meagre loss of seven paise from it last finish of 50.03, on sustained selling of dollar by foreign banks along with shaky local stocks failed to provide a direction to the rupee.
Rupee opened low at 50.05 and later fluctuated in a wide range of 49.98 and 50.25 in intra day trade. Rupee weakened in afternoon trade as shaky local shares failed to provide traders clarity on fund flows, but some dollar sales by exporters prevented the unit from falling sharply.
The partially convertible rupee was at 50.19/20 per dollar, weaker than Friday's close of 50.03.
India's main share index was see-sawing between gains and losses after a USD 306 billion US rescue package for troubled Citigroup helped ease a gloomy outlook for the market, but investors were unwilling to build fresh positions. One-month offshore non-deliverable forward contracts were quoted at 50.96/51.11, weaker than the onshore spot rate, indicating a bearish outlook for the local unit.
However, the Reserve Bank of India (RBI) today fixed the reference rate for US dollar at Rs 50.09 per unit, up by six paise, against its Friday's rate of Rs 50.03 per dollar. Similarly, the reference rate for Euro edged up by 69 paise to Rs 63.40 per unit from its last close of Rs 62.71 per unit, an RBI release said.
Meanwhile, the six-month and annualised forward dollar premiums were higher by 2.94 (2.73) per cent and 2.02 (1.86) per cent respectively.
The Rupee closed downward at 63.40/42 (62.76/78) per unit against the Euro. It closed at 74.72/74 (74.76/78) per unit against the Pound Sterling and at 52.20/22 ( 52.56/58) per hundred units aginst the Japanese Yen, brokers added.
UNI AR SR NP1811