COLOMBO: The Sri Lankan rupee closed slightly weaker on Monday as late importer dollar demand surpassed early dollar sales by exporters and a private bank, dealers said.
The spot rupee ended lower at 130.63/70 per dollar after rising to 130.57/62 in early trading. It edged down from Friday's close of 130.62/65.
The rupee currency strengthened slightly in early trade, which dealers attributed to dollar sales by a private bank which it got from selling gold. Two dealers confirmed the sale of gold by the bank.
"There was some demand in the evening, which brought the rupee down," a currency dealer said on condition of anonymity.
Contrary to market expectations, the local currency has been gaining ahead of the traditional new year in April. Usually, the rupee falls in March and early April due to higher import demand ahead of the Sinhala-Tamil new year. However, dealers said they are yet to see higher import demand.
The currency has gained 0.29 percent in the last 13 sessions through Monday, Thomson Reuters data showed. It has been on a rising trend since Feb. 27 amid weak demand for dollars from importers, dealers said.
Dealers said the rupee was expected to trade in a range of 130.50 to 130.75 in the near term.
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