Re weakens to 44.58/59/USD as equity markets slide

Mumbai, Mar 9: The rupee weakened sharply by 11 paise to 44.58/59 at 1126 hrs on the back of falling stock market indices and Japanese Yen getting weaker, a dealer at the forex market here said.

Rupee today (Mar 9, 2006) opened slightly weaker at 44.48/49, as against the last close of 44.47/48,the dealer added.

The stock markets' bench mark index this morning were down by 132 points to 10,376 owing to a panic created by the Foreign Institutional Investors(FIIs) selling on March 8 in Futures and Options (F&O) side by Rs 2,708 crore, which made rupee weaker.

The rupee may not get much support from Rs 222.50 crore inflow in equity market on Tuesday as reported by market regulator SEBI.

However, the crude oil prices softened further at USD 60.07 per barrel in the New York Mercantile Exchange (NYMEX) which will support rupee at lower levels.

UNI