India rupee weakens as state-run banks buy Dollar; Euro fall - TopicsExpress

India rupee weakens as state-run banks buy Dollar; Euro fall weighs: The Indian rupee weakened on today on sustained buying of dollars by state-run banks and importers even as most other Asian currencies rallied on hopes of more foreign flows after monetary stimulus measures in China and Europe. The sharp fall in the euro following the stimulus talks however weighed on rupee sentiment. Currency markets to remain cautious ahead of the Reserve Bank of Indias policy review on Dec. 2. The central bank is expected to adopt a more dovish tone but is seen as unlikely to cut interest rates until February. India is also due to report July-September economic growth data on Friday, adding to the caution. There was very good demand for dollars from state-run banks which hurt the rupee today.

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