The Indian rupee hit its lowest in almost a week on Thursday, weighed down by lower stocks and comments by the finance minister the government had tools to manage disruptive inflows although there were no concerns now. The partially convertible rupee ended at 46.6850/6950 per dollar, more than 1 percent weaker than its previous close of 46.20/21.
It touched 46.70 in late trade, its weakest since November 13. "The rupee followed the stock market and began falling," said a senior trader with a foreign bank. "It is expected to trade in the 46.50-46.80 range." One-month offshore non-deliverable forward contracts were quoting at 46.71/81, weaker than the onshore spot rate, which traders said reflected worries among foreign investors. In currency futures, the most-traded near-month contracts on the National Stock Exchange and MCX-SX were both at 46.6925 from Wednesday's 46.2350 and 46.24 respectively.