Rupee ends weaker at 40.79/80 per dollar

Mumbai, June 19 (UNI) The Rupee today closed weaker by one paise at 40.79/80 per US dollar as compared to previous close of 40.77/78.

Market observers suspected intervention of Reserve Bank of India (RBI) in the foreign exchange market to stem the domestic currency's gains from bouncing back to its recent nine-year peaks.

''There was a big dollar demand in market for the day from oil importers. However, foreign inflows were not as high as expected,'' said a dealer.

In the early day session, the domestic unit opened at 40.69/70 against the US dollar and later registered an intra-day high of 40.68 on strong foreign investment inflows (FIIs), said dealers.

However, it came down to lower margins and later closed trade at 40.79/80 per dollar.

Reserve Bank today fixed the reference rate at Rs 40.70 per USD, up by six paise, from its yesterday's rate of Rs 40.76 per USD, said an RBI source.

Dealers foresee an upward move in Rupee value in the weeks ahead.

UNI