* USD/INR ends at 53.6950/7150 vs prev close of 53.80/81
* Foreign fund flows have been supporting rupee
* U.S. jobs data for October due Friday
By Subhadip Sircar
MUMBAI, Nov 1 The Indian rupee rose for a third
successive session o n Thursday, driven by foreign fund inflows,
w i th the currency likely to witness ranged trading in the
absence of any major domestic cues.
The rupee is likely to be driven more by global factors,
with currency markets awaiting new developments in the euro zone
and with U.S. jobs data for October due on Friday.
Currency majors have been tethered in tight ranges for weeks
due to the uncertainty over Greece and Spain, the U.S.
presidential election on Nov. 6 and the potential for the United
States to run over a fiscal debt "cliff" early next year.
The Indian unit has found support in recent sessions,
including Thursday, from custodial dollar sales by foreign
banks, dealers said.
Foreign funds pumped in around $2 billion in equities in
October despite the benchmark index witnessing its
biggest percentage fall during the month, since May.
"It was a flows driven choppy trade in a narrow band. The
dollar's move against major currencies and stock market moves
will be watched for cues," said Paresh Nayar, head of fixed
income and forex trading at First Rand Bank in Mumbai.
The partially convertible rupee ended at
53.6950/7150 p er dollar, higher than its previous close of
53.80/81. It traded in a tight 53.67-53.90 band in the session.
However, it is still 0.25 pe r cent down for the week, on its way
to the third weekly loss in four. The central bank disappointed
the market by keeping the repo rate on hold earlier in the week.
In the offshore non-deliverable forwards market, the
one-month contract was at 54.00 w hile the three-month was at
In the currency futures market, the most-traded near-month
dollar/rupee contracts on the National Stock Exchange, the
MCX-SX and the United Stock Exchange all closed at around 53.96
wi t h total traded volume at $4.04 bi l lion.
(Editing by Jijo Jacob)