Rupee ends flat at 50.08 Vs dollar

Mumbai: For the second consecutive day Wednesday, the Indian rupee ended flat at 50.08/09 against the US dollar amid signs of renewed capital inflows. At the Interbank Foreign Exchange (Forex) market, the domestic unit opened higher at 50.00/01 a dollar and soon touched a high of 49.90. Forex dealers said mild dollar selling by exporters and signs of renewed capital inflows helped the rupee rise at initial stages.

However, some dollar demand from importers, mainly oil refiners, later pulled down the rupee to day`s low of 50.25. It finally concluded at 50.08/09 a dollar, a change of mere 1 paise from its Tuesday`s close of 50.09/10. Meanwhile, the BSE benchmark Sensex closed up by 81.41 points or 0.48 points, completing straight five sessions of rally.

The dollar index, consisting of six major currencies, was up by nearly 0.45 per cent, while New York crude oil was trading above USD 98 a barrel in European market Wednesday. The rupee premium for the forward dollar reacted slightly downward on fresh receivings by exporters. The benchmark six-month forward dollar premium payable in June settled down at 185-1/2-187-1/2 paise from Tuesday`s end of 187-189 paise and far-forward contracts maturing in December also eased at 275-1/2-277-1/2 paise from 276-278 paise.

The RBI has fixed the reference rate for the US dollar at 50.0215 and for the euro at 65.1255. The rupee fell back against the pound sterling to end at Rs 78.03/05 from overnight close of Rs 77.99/78.01 while recovered against the euro to Rs 64.86/88 from Rs 65.17/19. It remained firm against the Japanese yen to Rs 64.15/17 per 100 yen from last close of Rs 64.82/84.