Indian rupee falls

The Indian rupee weakened on Monday in thin trade as the euro and domestic equities fell on escalating US and eurozone debt worries, but traders said foreign fund inflows would prevent a sharp fall in the local currency. The partially convertible rupee ended at 44.5850/5950 per dollar, 0.13 percent weaker from Friday's close of 44.5325/5425.
During the day, the rupee moved in a narrow band of 44.5375 to 44.6050. The one-month onshore forward premium was at 25.50 points from 26 points on Friday, while the three-month was at 70 points from 70.25 and the one-year was at 226.25 points versus 229.50. One-month offshore non-deliverable forward contracts were quoted at 44.80, weaker than the onshore spot rate.