Rupee climbs to 3-month high of 48.68 against dollar
February 3rd, 2012 - 7:45 pm ICT by IANS
Mumbai, Feb 3 (IANS) The Indian rupee climbed to a three-month high of 48.68 against the dollar on the back of continued inflows of funds by overseas investors into the Indian markets.
The partially convertible rupee rose to a high of 48.68 against a dollar against its Thursday close of 49.15.
The Reserve Bank of India hiked reference rate of dollar to 48.96 Friday from 49.12 in the previous day. The reference rate of euro was also hiked to 64.39 Friday against 64.74 in the previous day.
After losing 16 percent of its value against the US dollar, the Indian currency has recouped over half of that because of an intervention in the currency market by the RBI and heavy inflow of funds from the foreign investors into the Indian equities markets.
Foreign institutional investors have pumped in $2.6 billion into Indian equities markets since the beginning of the year and also $3.2 billion in debt, according to the Securities and Exchange Board of India data.
Foreign institutional investors bought net equities worth $434.55 million Friday.
This has led to a strong rally in the Indian equities with the benchmark Sensex rising for the fifth straight week.
The Sensex closed 0.99 percent higher at 17,604.96 points Friday.
- Indian markets rally for the fifth straight week (Weekly market review) - Feb 04, 2012
- India's forex reserves rise by $673.4 mn - Feb 05, 2012
- Sensex soars past 17,600 points; registers 5th weekly gain (Roundup) - Feb 03, 2012
- Eurozone crisis keeping Indian markets unstable: Pranab - Nov 23, 2011
- RBI intervenes as rupee slides to new low (Roundup) - Dec 15, 2011
- Exporters worried over foreign fund inflow - Oct 17, 2010
- Sensex rises for fourth straight week; up 495 points (Weekly market review) - Jan 28, 2012
- Rupee slide continues: hits new low of 54.60 against dollar (Lead) - May 17, 2012
- Sensex slumps 405 points on weakening rupee (Lead) - Mar 22, 2012
- Rupee slumps to 32-month low against dollar - Nov 18, 2011
- Overseas funds sell $22.39 million in equities - Sep 25, 2011
- Rupee falls below 52 against dollar - Nov 21, 2011
- Indian markets rally for sixth straight week (Weekly market review) - Feb 12, 2012
- Bullish foreign investors pump in over $5.5 bn into Indian markets - Feb 26, 2012
- Rupee hits new low for third straight session (Roundup) - Dec 14, 2011
Tags: bank of india, currency market, exchange board, foreign institutional investors, foreign investors, indian currency, indian markets, indian rupee, inflow, overseas investors, rally, reserve bank of india, securities and exchange, securities and exchange board of india, sensex