BUSINESS

Rupee gains four paise

MUMBAI, JUNE 1. Rallying further on the back of strong bunched up dollar supplies, the rupee gained another five paise today, despite growing concerns over surging global crude oil prices after the Saudi attacks. In moderately active but cautious trading at the interbank foreign exchange market, the rupee closed at 45.41/42 a dollar, sharply higher from Monday's finish of 45.45/47 after briefly touching a low of 45.46/47 on some dollar demand generated by rising oil prices. It opened on a positive note at 45.42/44, following a two paise gain yesterday.

Notwithstanding soaring global crude oil prices after the militant attack at an oil facility in Saudi Arabia, the rupee rallied smartly today on the back of strong bunched up dollar supplies from market holidays in New York and London on Monday, dealers said. The demand for dollars was also negligible, as most of the month-end demand was already absorbed, they added. Banks in New York and London were closed yesterday on account of Memorial Day and Spring Bank Holiday, respectively.

The Reserve Bank of India fixed the reference rate for the U.S. currency at Rs. 45.45 and for the single European unit at Rs. 55.65 .

PTI