Tuesday, 18 November 2014

FOREX REPORT FOR 19 NOVEMBER 2014

Rupee hits one-month low to 61.84/85 per dollar on corporate dollar demand

The dollar rallied on Friday, helped by unexpectedly strong US retail sales data The rupee weakened to its lowest level in a little over a month on Tuesday morning as private oil firms bought dollars while a broadly stronger dollar also hurt sentiment for the local unit. The partially convertible rupee was at 61.84/85 per dollar compared with its close of 61.73/74 on Monday. It touched 61.8550,
its weakest level since Oct. 16. The dollar index, which measures the greenback against a basket of major currencies, rose to 87.999, pushing closer to a four- year high of 88.267 set on Friday. Traders said there is a strong support for the rupee around 61.90 levels, which would keep the unit in a 61.75 to 61.95 range for the day. Some dealers expect the central bank to step in to support the rupee around 61.90 levels.



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