Rupee off highs but mood still positive

The rupee is off hoghs on oil-related dollar buying and is at 53.53/54 versus a high 53.375 The rupee is off hoghs on oil-related dollar buying and is at 53.53/54 versus a high 53.375 The rupee is off hoghs on oil-related dollar buying and is at 53.53/54 versus a high 53.375. "The market is now thinking that the government is still adamant to control the current account deficit. The rupee may rise to 53.35 levels, possibly today," says dealer. The government has raised the import tax on gold by 2 percentage points to 6 per cent to curb purchases and rein-in a ballooning fiscal deficit, but industry officials expect only a moderate drop in demand. Gold import-related dollar buying is an important source of dollar demand after oil in the currency markets.