Indian Rupee Forex morning Update / Gold moves

The Indian Rupee strengthened against US Dollar on Jun. 29, 2007.

The Reserve Bank of India`s (RBI) reference rate for the US Dollar was fixed at Rs 40.75 on Jun. 29, 2007 compared with Rs 40.84 on the previous working day, that was Jun. 28, 2007.

Indian Rupee / US Dollar / Euro / Gold / Swap Trade

The domestic currency, also gained 0.43% versus the Euro. The reference rate for Euro was recorded at Rs 54.79 on Jun. 29 as against Rs 55.03 on the earlier working day.

Moreover, as revealed in the table given below, the local currency (Rupee) also gained Rs 0.17 vis-a-vis the Great Britain Pound (GBP) and Rs 0.15 against Japanese Yen (taking into account 100 Yen).


Rupee Exchange Rates

Date 1 GBP 100 Yen
June 28, 2007 81.8107 33.19
June 29, 2007 81.6386 33.19


The reference rate is based on 12 noon rates of a few select banks in Mumbai. The exchange rates of GBP and Japanese Yen against the Rupee are on the reference rate for US Dollar and middle rates of the cross currency quoted at 12 noon.
Dollar Giving Back Recent Gains Versus Indian Rupee Lately

6/29/2007 3:14:49 AM Against the Indian Rupee, the U.S. dollar declined slightly in the early Asian deals on Friday. After hitting a low of 40.60 at 9:20 pm ET, the pair held steady. Shortly after, the dollar bounced back the recent losses completely and strengthened further to 40.84 by about 11:35 pm ET. The pair then lost some pips and as of 3:13 am Eastern Time, it was quoted at 40.75.


Greenback Trading In Loose Range Against Philippine Peso

6/29/2007 3:11:52 AM During the early Asian session on Friday, the U.S. currency traded slightly lower versus the Philippine peso. But the Greenback entered a loose range at about 9:15 pm Eastern Time which was limited between 46.21 and 46.41. Of late the pair has been continuing the same trend and traded at 46.32 as of 3:10 am ET.

The dollar made a modest gain against the rupee in the inter-bank but weakened in the open market on Thursday. The dollar gain 0.1 paisas but it shed 0.7 paisas in the open market. A financial analyst said demand of the dollar has gone down considerably mainly due to its improved supply and depressed demand in the open market. In inter-bank, the dollar closed at Rs 60.53 at buying and Rs 60.58 at selling as compared to Rs 60.52 in the previous session. The pound sterling gained strength against the rupee. It closed at Rs 121.14 at buying and Rs 121.34 at selling as compared to Rs 120.75 level of the previous session gaining 0.39 paisas. The euro also gained strength against the rupee. It closed at Rs 81.46 at buying and Rs 81.66 at selling as compared to Rs 81.35 level of previous session gaining 0.11 paisas.

Open market: The dollar weakened against the rupee in open market on Thursday. It closed at Rs 61.10 at buying and Rs 61.15 at selling as compared to Rs 61.17 in the previous session losing 0.07 paisas. The pound sterling remained unchanged against the rupee in open market as it closed at Rs 121.70 at buying and Rs 121.80 at selling. The euro also weakened against the rupee. It closed at Rs 81.80 at buying and Rs 81.90 at selling as against Rs 81.90 in the previous session losing 0.10 paisas.

Dollar In Loose Range Versus Indonesian Rupiah

6/29/2007 3:09:12 AM The U.S. dollar traded in a loose range between 0.9048 and 0.9082 against its Indonesian counterpart during the early Asian session on Friday. However, the pair edged down at 12:20 am Eastern Time and hit the low of 0.9035 within half an hour. Thereafter, the dollar bounced back completely and entered a loose range of the same limits again. As of 3:07 am ET, the pair fetched 0.9056

The rupee on Wednesday closed at a fresh two-week low of 41.00/41.01 against the US currency following sustained month-end dollar demand from oil companies and weak equity markets, stretching losses for fourth straight session.

In quiet trade at the Interbank Foreign Exchange (Forex) market, the domestic unit opened lower at 40.99/41.02 a dollar from Tuesday's close of 40.93/94.

It later moved in a range of 41.05 and 40.94 a dollar before concluding the day at 41.00/01 per dollar, a further fall of seven paise over the previous close.

In last four sessions the rupee had dropped by 29 paise.

Month-end dollar demand from oil refinery companies to pay import requirements weighed on the rupee sentiment despite fall in global crude oil prices below USD 68 a barrel, forex dealers said.

Sluggish local as well as Asian equity markets also dampened the rupee sentiment. The benchmark Sensex was down by 70 points on Wednesday.

However, looking at the sustained depreciation of the rupee, there was not much intervention from the central bank as it was happy with the current scenario.

Meanwhile, the dollar dropped sharply against the yen due to a sharp downfall in the US subprime mortgage market.

According to market participants, the sustained decline in the rupee for the last few days could be capped due to dollar weakness in overseas market and expectation of robust capital inflows. The Reserve Bank of India (RBI) fixed the reference rate for the US currency at Rs 41.01 per dollar and for the single European unit at Rs 55.04 per euro.

The rupee premiums on forward dollar improved further following sustained heavy paying pressure from banks and corporates due to liquidity crunch in the system.

Benchmark six-month forward dollar premiums payable in November ended at 57-1/2 - 59 paise, higher from 50-1/2 - 52 paise on Tuesday and the far-forwards maturing in May also closed up at 115 - 117 paise from 107 - 109 paise previously.

In cross-currency trades, the rupee held steady against the British sterling while declined further against the Euro and the Japanese Yen.

The Indian unit remained stable against the sterling to close at Rs 81.83/85 per pound. However, the rupee eased further against the European currency to end at 55.11/13 per euro from last close of Rs 55.08/10 per euro and also dropped against the Japanese unit to finish at Rs 33.47/49 per 100 yen from overnight close of Rs 33.25/27 per 100 yen.