Rupee closes higher at 43.48/49 against USD

Mumbai, Mar 30: The Rupee today ended stronger at 43.48/49 against the US dollar as compared to its previous close of 43.75/76 on sustained dollar selling by foreing banks, dealers said.

The Rupee ended FY07 stronger on banks' dollar sales as they squared off dollar positions on the last trading day of the financial year.

The Rupee finished higher at Rs 43.49 against its previous close of Rs 43.75, before it fluctuated between 43.48 and 43.70 per USD during the intra day trades.

The widely traded 8.07 per cent 2017 paper closed lower at Rs 100.30 against its previous close of Rs 100.65.

The bonds ended down as liquidity was tighter after call surged to 75 per cent intraday.

A leading broker said with growing worries about US economy and probability of a rate cut by the Fed in some part of 2007, dollar is going to weaken across the board, which is a positive sign for the Rupee.

Forward premia remained volatile throughout the session as importers and exporters took advantage at the respective levels.

Overall, premia ended 14-15 paise lower. Six-month and 12-month forward premia closed at 4.35 per cent (4.05) and 3.66 per cent (3.46) respectively.

The Reserve Bank of India (RBI) today fixed the reference rate at Rs 43.47 per US dollar, down by 33 paise, as compared to its yesterday's rate of Rs 43.14 per USD, according to a RBI spokesperson here.

Besides, the domestic unit witnessed a lower trend against major world currencies. Against the Euro it closed softer at 57.73/74 (58.32/34), while Pound also finished at 84.95/96 (85.92/94) per unit each and Yen was quoted at 36.72/74 (37.26/28) per 100 units, brokers said.

UNI