Mumbai, Dec 15: The rupee continued to trade stronger in afternoon session on Tuesday, buoyed by the dollar’s losses against some major units, but choppy domestic shares prevented further gains.
* At 1 p.m., the partially convertible rupee was at 46.63/64 per dollar, off a high of 46.5750, but still stronger than its close of 46.705/715 on Monday.
* The dollar was subdued on Tuesday, pulling away from recent two-month highs against the euro, with markets wary about what the U.S. Federal Reserve would signal after its two-day policy meeting.
* The BSE Sensex was trading 0.2 percent lower weighed by banks and financial stocks that dropped as higher-than-expected inflation for November triggered concerns the central bank may start tightening liquidity soon.
* Dealers said the tax payments and expectations of monetary action by the central bank in the near future had pushed up dollar premiums in the onshore forward market.
* One-month forward premium rose as high as 11.25 points from 9.75 at the previous close. It had risen to 11.50 points on Monday, its highest since Oct. 16.
* In the currency futures market, the most traded near-month contracts on the National Stock Exchange and MCX-SX were both quoting at 46.6875 each, with the total traded volume on the two exchanges at a low $1.4 billion.
–Agencies