Date:09/01/2007 URL: http://www.thehindubusinessline.com/2007/01/09/stories/2007010903500600.htm

Back Rupee falls 19 paise

Our Bureau

Mumbai, Jan 8

The rupee fell by around 19 paise on Monday as the local and Asian stock markets turned weak. "The dollar also rallied against the euro and the yen on favourable payroll data, impacting the rupee," said a dealer at a private bank. The rupee opened at 44.34, touched an intra-day high of 44.50/53 to finally close at 44.49, against the previous close of 44.30/31 on Friday.

"When the rupee touched the 44.43 levels, nationalised banks were seen buying dollars, possibly on instructions from the Reserve Bank of India. However, later in the day, foreign banks also bought dollars," said the dealer. Dealers expect the rupee to touch 44.55 in the week. In forwards, the 6-month closed at 3.70 per cent (3.56 per cent) and the 12-month ended at 3.04 per cent (3 per cent).