Rupee ends steady at 39.49/50 per USD

Mumbai Dec 6: The Rupee ended steady today at 39.49/50 against the US Dollar from the previous close of 39.49/50, on suspected intervention by the Reserve Bank of India (RBI).

The partially convertible Indian Unit traded in a tight range between 39.45 and 39.55 per dollar amid jittery sessions in inter bank foreign exchange (Forex) market, dealers said.

Though there was not much activity from overseas investors, the overall sentiment in the market seems high on possible rate cut by the US Federal Reserve in next week, which could possibly trigger overseas inflows in the Indian market, said a senior dealer with a leading private bank.

The six-month forward premium closed higher at 1.45 (1.42) per cent, while annualized premium ended up 1.13 (1.09) per cent.

Meanwhile, RBI today fixed the reference rate at Rs 39.47 per US Dollar. The reference rate declined by 2 paise as compared to the previous day's rate of Rs 39.45 per USD.

The Rupee today traded stronger against other major world currencies. The Indian unit ended firm at 57.36/37 (58.03/04), against the Euro. While rupee closed firm at 79.71/72 (80.41/43) per unit against Pound Sterling, it ended firm at 35.52 (35.80/81) per hundred units against the Japanese Yen.

UNI