Indian rupee closes near 2-week low against dollar

Source: Xinhua| 2018-10-03 14:18:50|Editor: xuxin
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MUMBAI, Oct. 3 (Xinhua) -- The Indian rupee tumbled 43 paise to end at a close to fourteen day low of 72.91 against the U.S. dollar on Monday in the midst of a reinforcing greenback and unfaltering capital surges.

Higher U.S. Treasury yields, which transcended the 3 percent check, supported the interest for the dollar, analysts said to media.

Reportedly, outside institutional financial specialists net sold offers worth Rs. 1,841.63 crore Monday, provisional data showed.

"The Reserve Bank of India announced on the same day that it would inject liquidity of Rs.36,000 crore into the system through purchase of government bonds in October to meet the festival season demand for funds.

The auctions to purchase government bonds as part of the Open Market Operations (OMO) will be conducted in the second, third and fourth week of October," says NDTV reports.

Additionally, "Rupee continues to be weak as crude oil prices remains high. Unless we have comfort from crude oil prices, we are likely to see weakness in rupee. It is going to hover in 70-72 range," a senior treasury official said to NDTV.