Evening Report -jul 22.

Indian Rupee closed at 42.72 levels triming early losses with the help of firm stock market but caution prevailed ahead of a confidence vote in parliament that would decide the fate of the government.U.S. Dollar got a slight boost previously from Bank of America results which were better than expected, but dismal earnings after the bell from other companies reinforced gloom on the economy. U.S. economy is suffering as the credit crisis hits the housing market and banks, expectations that the Federal Reserve would raise interest rates before the end of the year to curb inflation pressures are fading. .The dollar was stuck near recent record lows versus the Euro , with investors focusing on worries about the U.S. financial sector.With no first tier euro zone or U.S. data on the calendar until Thursday, trading was subdued and moves limited.Pound was firmer against the dollar, trading at $2.0007 , ahead of outgoing Bank of England deputy governor's speech.Yen fell as investors edged back into relatively risky carry trades, where they sell the low yielding currency to fund purchases of higher yielding assets after the better than expected Bank of America results.