Ratings of Indian government related issuers remain unchanged even though the industry had expected a rating cut.
The brokerage expects the euro crisis to abate by the second half of 2012 with Europe potentially exiting recession by mid-year.
Dealers attributed the rupee's fall on renewed concerns over the debt crisis in the eurozone after the European Central Bank said it had no immediate plans for a large-scale purchase of government bonds.
At 9:27 a.m., the partially convertible rupee was at 51.91/92 per dollar, weaker from 51.715/725 close on Wednesday and traders expect the rupee to decline to 52 during the day.
The most-active gold for February delivery on the Multi Commodity Exchange was 0.54 percent lower at Rs 28,890 per 10 grams, after hitting Rs28,763 a level last seen on November 26.
The S&P news also overshadowed ongoing tensions between OPEC producer Iran and the West that could lead to crude supply being disrupted from the world's fifth-largest exporter.
Traders said the near-term outlook was bearish even after the central bank pledged to support the rupee, which had hit a record low last month.
IVRCL Group on Monday said it had bagged orders worth Rs 4,081 crore in buildings, transportation and thermal power plant segments.
Dealers said increased selling of dollars by exporters and range-bound movement of the euro and Asian currencies against the dollar overseas helped the Indian rupee strengthen
Gains made by the euro and other currencies against the dollar overseas after coordinated action by central banks to pump liquidity into the global financial system gave support to the Indian rupee.
Forex dealers said dollar weakness against the euro and other currency rivals overseas and a higher opening in the domestic stock market supported the Indian rupee's rise
Rupee had weakened by 19 paise to close at Rs 52.25/26 against the US dollar on Friday amid fresh demand for the American currency from importers and weak equity markets.
The euro rose 0.6 per cent to $1.3331 after the unsourced report in Italian daily La Stampa said up to 600 billion euros could be made available at a rate of between 4-5 per cent to give Italy breathing space for 18 months.
The study also found that promoters have pledged 25 percent of more of their holding in as many as 183 companies, while the promoter pledging was in excess of 50 per cent for 107 companies.
The falling rupee, combined with slowing growth, has added to a sense of urgency for a scandal-tainted government to push reforms to encourage investment.<br /><br />
The rupee skidded for a fifth consecutive session on Monday to within sight of its record low, as oil importers bought dollars and subdued shares heightened fears of foreign fund outflows
Minutes of the 19 October meeting reveal that almost all external experts on RBI monetary policy advisory committee waere opposed to increase in policy rates to combat inflation.
The investments from HDFC would be for the developer's Gurgaon project near the national capital.
Speaking to exclusively to CNBC-TV18, Pratip Chaudhuri said the bank is prepared for a slightly higher cost of funds but added that they will not be the first movers in terms of hiking savings bank rate.
Market experts said that the sugar industry expects a favourable policy regime if Samajwadi Party comes to power. Samajwadi Party is emerging as the single largest party leading in 173 of the total 403 seats in Uttar Pradesh Assembly.
The dollar faced heavy losses in Asia, having seen its biggest decline in more than two years against a basket of major currencies
TCL announced that it was evaluating a bid for C&W Worldwide. If a bid emerges, it will mark the return to overseas mergers and acquisitions by the Tata Group after a gap of almost three years.
The dollar took its biggest beating against a broad range of currencies in 2-1/2 years and investors spurned safe-haven US government debt.
Shares in apparel maker Raymond Ltd rose as much as 7.1 percent
Fearing credit turning bad assets in the wake of high interest rates, a number of state-run banks, led by SBI, have decided to raise home loan tenors to 25-30 years or till the borrower touches 70 - well past their working age.
Oil cartel OPEC sees member Libya restoring production to one million barrels per day within six months, then attaining pre-conflict levels by the end of 2012. Traders were also bracing for the outcome of European Union summits on Sunday and Wednesday.
The rupee slid to its weakest level in 30 months on Friday on expectations of foreign fund outflows from domestic shares on a sudden bout of risk aversion ahead of the euro zone summit over the weekend.
Tata Communications would be joining Vodafone Group, which said in February, it is considering bidding for Cable & Wireless, whose fixed-line network could boost bandwidth for its Internet-hungry customers.
Developing countries host about two-thirds of the total value of greenfield investment projects, but the level of new investment in those countries roughly halved between the first and third quarters.
Civil Aviation Minister Vayalar Ravi today said it is considering the recommendation of the Department of Industrial Policy & Promotion (DIPP) to allow foreign carriers to pick up stake in domestic airlines.