Rupee closes high at 44.91/93 against per USD

Mumbai, Nov 17: The Rupee today was quoted higher by two paise and closed firm at 44.91/93 against the US Dollar compared to the previous close of 45.93/95 per US Dollar due to scattered selling pressure of Dollars by foreign banks.

The Rupee traded in a wide band while recovering a big chunk of the losses incurred in the previous four sessions. After a cautious opening at 45.31, the rupee rose by a spike in the yen and other Asian currencies. Unlike the yen, which failed to sustain gains, the rupee initially steadied around 45.15 and received another boost in late afternoon trade.

Heavy inflows and dollar liquidation raised the rupee amidst fair amount of importer demand. Traders said that milder dollar buying by state-run banks as compared with the last few sessions allowed the rupee to bounce back.

Forward premia were choppy, ending up by 2-3 paise. Call money rates edged higher, quoted at 7.10-7.20 per cent. Six-month and twelve-month Forward Premia ended higher at 2.00 per cent (1.95 per cent) and 1.85 (1.80 per cent) respectively.

The Reserve Bank of India (RBI) today fixed the reference rate at Rs 45.01 per US Dollar, up by 16 paise from it's yesterday's rate of Rs 45.17 per US Dollar, a RBI spokesperson here said.

However, the performance of the Rupee against other currencies was mixed. The domestic currency closed down against the Euro at Rs 57.35/37 (57.52/54) per unit. Against the Pound Sterling, it was at Rs 85.70/72 (85.78/80) per unit and against the Japanese Yen, it was at Rs 38.04/06 (38.05/07) per 100 units, dealers said.

UNI