Rupee steady at 52.8788 against dollar

Mumbai, Dec 21 (PTI): The Indian rupee Tuesday closed marginally lower by one paisa at 52.8788 against the dollar on alternate bouts of demand and supply despite steep fall in local stocks. Traders said some dollar demand from importers, mainly oil refiners, put pressure on the rupee. Later, dollar selling by exporters amid weak dollar overseas helped the rupee end the day near previous closing level. At the Interbank Foreign Exchange (Forex) market, the domestic currency resumed lower at 53.0001 against the dollar. It moved in the range of 52.75 and 53.10, before settling at 52.8788. Traders also attributed some stability in the rupee to imposition of restrictions by the Reserve Bank last Thursday on forward trading in the local currency by FIIs and traders and also capping of banks exposure to the forex market. "In spite of a discouraging performance by local bourses today the rupee showed an appreciation from its opening level. "The RBI's motive behind strictly regulating trading limits of banks was to bring about stability in the market in which it seems to have succeeded till now," India Forex Advisors CEO Abhishek Goenka said. Meanwhile, the BSE benchmark Sensex fell for the fifth session in a row Tuesday to a new 28-month low of 15,175.08 on across-the-board selling amid investor concerns over slow growth, falling rupee and persisting euro-zone debt troubles. FIIs pulled out US$ 363.48 million in last straight seven sessions as per the SEBI data. The rupee premium for the forward dollar ended further up on sustained paying pressure from banks and corporates. The benchmark six-month forward dollar premium payable in May settled higher at 161-164 paise from 159-162 paise Monday and far-forward contracts maturing in November also ended strong at 263-266 paise from 259-262 paise previously.