RTTN: Indian Rupee Off 5-month High Against US Dollar
(RTTNews) - The Indian rupee that touched its highest level in 5-months against the US dollar at the beginning of Thursday's trading pulled back from its peak at noon. However, the rupee lacked a clear direction thereafter and settled trading at close of Indian forex market around 44.1550, down from its previous best of 43.99. Earlier, the rupee breached the psychological mark of 44.0 against the buck for the first time since November 8, 2010.
In the equity front, the benchmark 30-share BSE Sensex ended down 21 points or 0.11 percent at 19,591, with 17 of its stocks declining. The lack of buying activity at higher levels dragged the 50-share Nifty index down about 6 points or 0.10 percent to 5,886.
In economic news, Indian food inflation for the week ended March 26 eased slightly to 9.18 percent, the lowest level in almost four months, on the back of a decline in the prices of pulses, according to government data released today. The annual inflation stood at 9.50 percent in the previous week.
Meanwhile, Asian Development Bank or ADB has projected India's gross domestic product for the current fiscal year (2011-12) at 8.2 percent, down from an estimated rate of 8.7 percent, on the back of surging global oil prices and the Reserve Bank of India or RBI's tight monetary policy. The forecast, however, is in sharp contrast to the Prime Minister's Economic Advisory Council projection of 9 percent growth in the current fiscal.
