Rupee ends at 42.95/96 against USD

Mumbai, May 22 (UNI) The Rupee weakened past 43.00 against US Dollar today and then pulled back to close at a 13-months low of 42.95/96, as the crude oil prices hit all-time high at USD 135 per barrel.

PSU banks sold dollars heavily, reportedly on behalf of the central bank, which pulled back the Indian unit to end below the high it had touched in the early trade, dealers said.

The partially convertible Indian rupee came off an intra-day high of 43.20/21 against the greenback hit in early April 2007. However, it depreciated by about ten paise or 0.32 per cent from its previous close of 42.84/85 per dollar, dealers stated.

State-run banks today sold dollars at its higher level of 43.20/21 on behalf of Reserve Bank of India, a senior dealer with a leading private bank said. Further, dealers suspected that the central bank's intervention may have been to prevent the rupee's sharp fall rather than to support it at a particular level.

Meanwhile, RBI today fixed the reference rate for US Dollar at Rs 43.15 per unit, 43 paise higher than the previous day's level of Rs 42.72 per USD.

The six-month premium was quoted higher at 1.84 (1.75) per cent and annualised premium closed at 1.37 (1.32) per cent.

Rupee ended the day on a weak note at 67.67/68 (67.33) per unit against Euro. It closed at 85.02/03 (83.99) per unit against the Pound Sterling and ended at 41.50 (41.35) per hundred units against the Japanese Yen.

UNI PP RN SKB1906