Sri Lankan rupee edged up on Tuesday, recovering after three straight sessions of losses on dollar selling by exporters, with moral suasion by the central bank preventing the currency from falling, dealers said.
The rupee is, however, expected to face pressure due to demand for dollars by importers ahead of the festival season in December.
The spot rupee was quoted at 146.85 per dollar at 0705 GMT, but it was hardly traded for a third day running. The spot closed at 146.88/95 last Thursday.
Rupee forwards were active, with the spot-next at 147.00/10, edging up from the previous day’s close of 147.15/25. The spot next fell to as low as 147.35 before exporters started selling dollars, the dealers said.
“Today, we saw moral suasion when the spot-next fell. All the dealers maintained the trade at 147.15 per dollar before some exporter dollar came in,” a currency dealer said, asking not to be named.
-Reuters
-Agencies
