Rupee closes flat at 44.23/24 per US dollar

Mumbai, Mar 12: The Rupee today finished at 44.23/24 per US dollaragainst its previous close of 44.24/25 as dollar demand from importersmatched supply from exporters, dealers said.

It fluctuated in a narrow range between 44.20 and 44.26 during the session due to lack of fresh interest from exporters.

It's a very quiet market, there is not much happening around butmost players feel the Rupee is likely to appreciate if Central Bankdoes not intervene.

The widely traded 8.07 per cent, 2017 paper closed higher at Rs 100.86 against its previous close of Rs 100.54.

The bonds ended higher as banks and primary dealers bought morecheered by surplus liquidity. Modest sum announced for MSS auction onWednesday boosted the mood.

Forward premia rose in the session as importers purchased forwardsat lower levels. Six-month and 12-month forward premia closed at 3.00per cent(3.03) and 2.92 per cent (2.97) respectively.

The Reserve Bank of India (RBI) today fixed the reference rate atRs 44.22 per US dollar, up by five paise from its Friday's rate of Rs44.27 per USD, according to a RBI spokesperson.

Besides, the domestic unit displayed an encouraging higher trendagainst major world currencies. Against the Euro it closed high at58.28/30 (58.30/32), while Pound finished at 85.77/78 (85.64/66) perunit each and Yen was quoted at 37.54/55 (37.85/87) per 100 units,brokers added.

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