Rupee ends up at 47.36 per US dollar

Mumbai, Nov 10 (UNI) The Rupee today ended higher at 47.36 against the US dollar with a gain of 30 paise from its last finish of 47.66 on sustained selling pressure on dollars by foreign banks.

Brokers said ''Rupee strengthened on Monday as solid gains in the domestic share market renewed hopes for fresh capital inflows, but dollar demand from importers and oil firms capped gains.

The partially convertible rupee opened firm at 47.32 and later closed at 47.36 per dollar, 0.6 percent stronger than Friday's close of 47.66. The rupee has recovered 6.2 per cent from its record low of 50.29 hit in late October, but is still down 16.8 per cent in the year.

''The market was rangebound, there were importers at the lower-end and exporters at the higher-end,'' said Agam Gupta, head of forex trading at Standard Chartered Bank. ''Foreign institutional investors were there on both sides.'' Dealers said the central bank's latest move to provide dollar liquidity to banks would help ease pressure on the local unit. Indian shares rose over 500 points as they rode on a global rally after China's massive stimulus package raised hopes and authorities elsewhere would follow suit to stave off a sharp economic downturn. Foreign funds have sold a net USD 12.7 billion worth of Indian shares so far this year after buying a single-year record of USD 17.4 billion in 2007.

However, the Reserve Bank of India (RBI) today fixed the reference rate for US dollar at Rs 47.32 per unit, down by 44 paise, against its Friday's rate of Rs 47.76 per dollar. Even, the reference rate for Euro also fell by eight paise to Rs 60.73 per unit from its last close of Rs 60.81 per unit, a RBI release said.

Meanwhile, the six-month and annualised forward dollar premiums were higher by 3.55 (3.40) per cent and 2.65 (2.50) per cent respectively.

The Rupee closed firm at 61.04/05 ( 60.90/92) per unit against the Euro. It closed at 73.60/62 (74.96/98) per unit against the Pound Sterling and at 47.80/82 ( 48.96/98) per hundred units aginst the Japanese Yen, brokers added.

UNI AR OBB NP1837