Rupee closes flat after dull trade

Reuters: The rupee ended steady on Tuesday as selling of the US dollar by exporters offset demand for the greenback from importers in a dull day of trade, dealers said.

The spot rupee traded between 152.83 and 152.88 during the day before ending flat at 152.80/90 per dollar.

“The market traded in a narrow range on very thin volumes,” said a currency dealer, requesting anonymity.

“There was some import demand, but it was met by exporter sales.”

The rupee has been under pressure since January after the central bank stopped defending the currency and started buying dollars to build up the country’s depleted foreign currency reserves.

The island nation had seen Rs. 27.7 billion ($ 181.28 million) of net inflows into equities up to Tuesday’s close, and Rs. 6.6 billion worth inflows into government securities as of 6 September, official data showed.