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Journalism of Courage
The rupee dropped to its lowest level in more than three weeks on Wednesday on the back of an early drop in the local sharemarket which played catch-up with the rest of Asia as trading resumed after a day8217;s break.
At 9:07 a.m. the partially convertible rupee was at 46.31/32 per dollar,after touching 46.34 early,its weakest since Jan. 4 and below its previous close of 46.1250/1350 on Monday.
The index of the dollar against six major currencies was little changed. Most Asian currencies were however stronger compared to the dollar,which may help limit the rupee8217;s fall.
The Reserve Bank of India releases its quarterly monetary policy review on Friday,with markets expecting an increase in banks8217; reserve requirements.
The BSE Sensex was down 1.1 per cent in early deals on Wednesday,led by losses in financial stocks as the market caught up with the fall in world stocks on Tuesday when local markets were shut for a national holiday.
Traders were awaiting comments post the Fed8217;s Open Market Committee FOMC meeting,which concludes on Thursday and is expected to yield little in terms of a policy shift.
