The rupee fell the most in four weeks as investors sought the dollar's perceived safety before the US presidential election.
The rupee fell 1.1 per cent to 54.42 a dollar as of 3:11 pm in Mumbai, the biggest decline since October 8.
Bonds end mixed
Government securities (G-sec) closed mixed on alternate bouts of buying and selling.
The 8.33 per cent G-sec maturing in 2026 gained to Rs 100.21 from Rs 100.18 last Friday, while its yield inched down at 8.30 per cent from 8.31 per cent. The 8.15 per cent G-sec maturing in 2022 rose to Rs 99.69 from Rs 99.68, while its yield edged down to 8.19 per cent from 8.20 per cent.
The 8.97 per cent G-sec maturing in 2030 surged to Rs 105.37 from Rs 105.33, while its yield held steady at 8.39 per cent. However, the 8.19 per cent G-sec maturing in 2020 slipped to Rs 99.7350 from Rs 99.7375 previously, while its yield held stable at 8.24 per cent. The 8.20 per cent G-sec maturing in 2025 declined to Rs 99.36 from Rs 99.39, while its yield held steady at 8.28 per cent.
The 7.83 per cent G-sec maturing in 2018 eased to Rs 98.1650 from Rs 98.17, while its yield held unchanged at 8.25 per cent.
Call rates higher
Call money rates ended higher on good demand from borrowing banks. The overnight rate finished slightly higher at 8.05 per cent from last Thursday's closing level of eight per cent. It moved in a range of 8.10 per cent and 7.15 per cent. The Reserve Bank of India under the liquidity adjustment facility purchased securities worth Rs 582.05 billion in 29 bids at the one-day repo auction, at a fixed rate of eight per cent.