NSE REPORT
The rupee remained steady against the dollar in the face of dull trading in the inter-bank forex market yesterday. It closed at 35.88-89. Forward premiums eased with the six-month annualised closing at 6.8 per cent.
Spot rupee opened at 35.885-89.
Trading remained subdued and banks remained net sellers. The State Bank of India (SBI), which entered the market bidding for the dollar, did not make any purchases.
However, in the afternoon, RBI bought the American unit. This resulted in the greenback touching 35.90 after which it slipped back to the closing levels. The RBIs reference rate for the dollar was 35.89. The central bank had intervened in the forward market in the morning. The six-month annualised opened at 7.1 per cent and remained steady at those levels in the morning as the RBI purchased for September. However, after it withdrew, the premiums softened, slipping to 6.8 per cent as exporters continued to sell forward.
Monthly premiums in paise were 3-5 for March, 26-29 for April, 45-48 for May, 65-68 for June, 86-89 for July, 107-110 for August, and 129-132 for September. One-year premiums were 228-238 paise. The data released on the German economy indicated that economic fundamentals were stronger than expected, thereby increasing expectations of its meeting the Emu criteria. The mark weakened. The rupee closed at 57.18 against the pound, 21.39 against the mark, and 29.24 against the yen.
