Rupee depreciates by 7 paise Vs dlr on weak stocks

Mumbai, Jan 10 (PTI) In line with fall in local equities,
the rupee depreciated further by seven paise against the US
currency to close at a fresh three-week low of 45.45/46.
Dollar demand from importers as well as some banks too
weighed on the rupee, dealers said.
The rupee had lost 13 paise in the previous trading
session.
The BSE benchmark Sensex, which resumed slightly better,
later tumbled by nearly 468 points or 2.38 per cent.
In a
five-day losing string, the Sensex has tumbled by 1,336.93
points or 6.50 per cent.
Sustained capital outflows also put pressure on the
rupee. Foreign Institutional Investors (FIIs) pulled out USD
212.6 million on January 7, as per SEBI data.
However, the dollar index consisting of six major
currencies was trading nearly stable in European market
on Monday.
Meanwhile, global crude oil was trading below USD 89 a
barrel in London on Monday.
At the Interbank Foreign Exchange (Forex) market, the
local currency opened higher at 45.30/31 a dollar from last
weekend's close of 45.38/39.
It later moved in a range of 45.27 and 45.52 before
concluding the day at 45.45/46 a dollar.
The rupee premium for the forward dollar continued it
upward march on sustained paying pressure from banks and
corporates. The benchmark six-month forward dollar premium
payable in June finished a tad higher at 137-139 paise from
136-138 paise last weekend.
Far-forward contracts maturing in December too closed up
at 251-253 paise from 246-248 paise previously.
The Reserve Bank of India fixed the reference rate for
the dollar at Rs 45.44 and the euro at Rs 58.63.
The rupee remained weak to end at Rs 70.50/60 against the
pound sterling from last Friday's close of Rs 70.11/13 while
fell back against the ye to Rs 54.63/65 per 100 yen from Rs
54.34/36 previously.
It, however, improved further to Rs 58.77/79 per euro
from its last close of Rs 58.91/93.