Rupee ends firmer

Thursday, 31 October 2013 01:24 -     - {{hitsCtrl.values.hits}}

Reuters: The rupee strengthened on Wednesday, edging up from a near two-week low as banks sold dollars, but downward pressure on the currency is expected in the near term because of seasonal and project-related imports, dealers said. Some dealers said a State bank, through which the central bank usually directs the market, was seen selling dollars at Rs. 131. The spot rupee closed 130.95/05 per dollar firmer than Tuesday’s close of 131.10/20 per dollar, its lowest close since 17 October. “A State bank sold dollars at 131 and there was some bank (dollar) selling too,” said a currency dealer who asked not to be named. The currency, which appreciated 0.4% last week on foreign buying in the rights issue of John Keells Holdings Plc, hit a near four-month closing high last week. The rupee hit a record low of 135.20 on 28 August, but has managed to stem further losses and is up 3.21% since then.