Rupee recovers 15 paise Vs dollar amid weak equity markets

Mumbai, Feb 1 (PTI) Snapping its two-day long loosingstreak, the rupee today closed 15 paise up against the UScurrency on the back of fresh sales of dollars by exporterseven as equity markets witnessed sharp losses.

According to forex traders, a sudden gust of dollarselling by exporters and some corporates helped the rupeerise.

The Bombay Stock Exchange benchmark Sensex today closedsharply lower by 305.54 points or 1.67 per cent. It, however,did not impact the rupee sentiment.

At the Interbank Foreign Exchange (Forex) market, thelocal currency resumed better at 45.85/86 a dollar from itslast close of 45.90/91 and immediately touched the day''s lowof 45.90 due to weakness in local equities.

The dollar index of six major currencies was down by over0.3 per cent to nearly 2-1/2 month low in European markettoday, which also aided the rupee sentiment.

The rupee later recovered smartly to a high of 45.7450before concluding the day at 45.75/76.

Foreign Institutional Investors (FIIs) pulled out overUSD 1.2 billion in the current calender so far.

Meanwhile, global crude oil was trading above USD 91 abarrel in London today.

The rupee premium for the forward dollar ended higher onsustained paying pressure from banks and corporates. Thebenchmark six-month forward dollar premium payable in Julyclosed slightly higher at 142-1/2-144-1/2 paise from 142-143-1/2 paise previously.

Far-forward contracts maturing in January also finishedup at 271-273 paise from 264-1/2-266 paise on Monday.

The Reserve Bank of India has fixed the reference ratefor the dollar at Rs 45.81 and the euro at Rs 62.84.

The rupee continued to rule weak to close at Rs 73.68/70against the pound sterling from overnight closing level of Rs72.98/73.00 and also dropped further against the yen to Rs56.13/15 per 100 yen from Rs 55.84/86 previously.

It, however, fell back to Rs 62.95/97 per euro from itslast close of Rs 62.45/47.