The rupee was trading weak by 39 paise at 61.63 against the dollar at 12.06 p.m. local time.
The rupee opened weak by 36 paise at 61.60 per dollar against the previous close of 61.24 on fresh demand for dollar from oil companies and on the back of weakness in the domestic equity market.
The rupee sentiment was also hit due to slowdown in export growth in November. Export growth in October also slowed to 5.9 per cent from 13.5 per cent in the year-ago period, government data showed.
According to Abhishek Goenka, Founder and CEO of India Forex Advisors, “Three oil companies have to pay back around $15 billion to RBI over the next six months, which they used up from the oil swap window opened in August. To pay back the amount, they are expected to buy whenever the conditions are favourable.”
Call rates, G-Secs
The inter-bank call money rate, the rate at which banks borrow from each other to meet their short-term requirements, opened higher at 7.75 per cent from the previous close of 7 per cent.
The 10-year benchmark 7.16 per cent government security, which matures in 2023, opened lower at Rs 87.30 from Rs 87.45. Yield on the security hardened to 9.2 per cent from 9.17 per cent.
