Rupee trades 13 paise lower at 62.27 to the dollar

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 Rupee trades 13 paise lower at 62.27 to the dollar
The rupee was trading lower by 13 paise at 62.27 to the dollar, as weakness in the currency persisted following the Fed's decision to taper its QE3 programme.

Dealers say that the Fed decision to taper is likely to have little impact on the forex markets, as the RBI is likely to intervene, should the rupee weaken further.

The rupee had weakened substantially in Sept and had hit a record low of 61.81 against the dollar on fears that the Fed would begin tapering its QE3 stimulus.

However, now that it has actually began there has been no major material impact on the markets. QE3 or bond purchase programme helps to unleash liquidity in the US economy and this money finds its way into emerging market equities. This helps to sustain their currencies on fresh dollar inflows. Read more about QE3 here

Read more about: dollar, currency, qe3
Story first published: Friday, December 20, 2013, 10:14 [IST]
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