Sep 20, 2010
This means even higher foreign inflows both into equities and debt, they said. In calendar 2010, FIIs have been net buyers of equity to the tune of $15.6 billion, and this is expected to increase. On Friday, the rupee gained tracking domestic equities. Panic dollar selling by exporters at every uptake in the rupee also helped the domestic currency appreciate and close at a three-month high, said dealers.
The rupee has been on a gaining streak for the last seven trading sessions. It has gained by more than 2 per cent during this time. The domestic currency unit is expected to sustain its gains at these levels. “The next support level is 45.80. If it breaks that level, we could see the rupee appreciate to 45.30,” a forex dealer said.
In the forward premia market, there was receiving interest as exporters were selling dollars, which pushed down premiums. The one-year premium ended lower at 4.85 per cent (4.96 per cent).
