Sri Lanka rupee at 10-month low on importer dollar demand

COLOMBO: The Sri Lankan rupee fell 0.17 percent on Wednesday to its lowest level in 10 months on importer dollar demand and in the absence of central bank intervention.

The rupee fell to 131.70 in intraday trading before closing at 131.60/65 to the dollar, its lowest since Sept. 19 and weaker than Tuesday's close of 131.45/50.

"The rupee was weaker on importer dollar demand. Late in the day, we saw some exporter conversions which eased the morning pressure," said a currency dealer.

The rupee fell 3.1 percent in June as foreign investors pulled out of Sri Lankan treasury bonds, lured by a rise in US treasury yields on concern the Federal Reserve would start trimming its stimulus programme.