Rupee on firmer ground, at 46.44

The rupee on Thursday strengthened by almost 14-15 paise as it ended the day at 46.43/44 as compared to Wednesday’s close of 46.5750/5850 against the dollar.

The rise in rupee levels was aided by a weakening dollar in global markets and foreign banks reversing their positions in the offshore non-deliverable forward (NDF) market.

Treasury managers said foreign banks which had purchased dollars in local markets were reversing these deals.

Forward premia hardened as the yield on the 6-month premia ended at 1.38% (1.33%) and that on the 1-year premia remained unchanged at 1.33%.