Rupee ends stronger at 43.06/08 against USD

Mumbai, Apr 3: The Rupee today ended stronger at 43.06/07 against the US dollar as compared to its previous close of 43.48/50, as key policy rate hikes imposed by RBI last week forced traders to short dollars, dealers said.

The Indian currency opened higher at 43.30/32, later it recorded a high at 43.05/06 and a low at 43.30/32 during the session.

It started off the first trading session on a higher note and closed at 43.07/against USD. Earlier, the Rupee neared a 7-year high and tested 43/USD.

Forward premia rose by nearly 40 paise as tight liquidity conditions were reflected in the forwards market. Six-month and Twelve-month forward premia closed at 5.93 per cent (4.35) and 4.56 per cent (4.80) respectively.

The Reserve Bank of India (RBI) today fixed the reference rate at Rs 43.13 per US dollar, up by 46 paise from its last Friday's rate of Rs 43.59 per USD, according to a RBI spokesperson here.

Besides, the domestic unit witnessed a softer trend against major world currencies. Against the Euro it closed weaker at 57.20/22 (57.72/74), while Pound also finished at 84.60/62 (84.94/96) per unit each and Yen was quoted at 36.08/10 (36.72/74) per 100 units, brokers said.

UNI