The Indian rupee reached nearly 49 mark during the week ended Oct. 17, 2008. Rupee was under pressure during the week on mixed cues.

At the beginning of the week, the partially convertible Indian rupee appreciated marginally following hefty gains in the local equities, but traders were wary on demand for dollars from importers and oil refiners.

Thereafter, rupee saw some relief, however, it trimmed gains after the stock market came off the day`s high and demand for dollars from oil refiners weighed the sentiment.

In the mid-week, the rupee depreciated on account of heavy losses in the local stock market and pressured by offshore related dollar demand, with central bank intervention helping it to pull back from the day`s low.

Rupee continued its down trend thereafter, as losses in the local equities caused concerns foreigners would send back more funds, but suspected central bank intervention helped the Indian unit climb off lows.

On the last day of the week i.e. Friday, October 17, the Indian rupee slumped to its lowest close in more than six years on account of losses in local equities intensifying worries of capital outflows. The partially convertible rupee ended at 48.88/89 against USD, its lowest close since June 25, 2002 and marginally weaker than Thursday`s close of 48.82/83.

The Sensex ended with a loss of 606.14 points, or 5.73% at 9,975.35 after touching a high of 10,786.93 and a low of 9,911.32 on Friday, October 17.