Highlight
- Rupee regained some lost ground and closed down 15 paise at 79.97
- The local unit slips to an all-time low of 80 in intra-day trade
- Global oil benchmark Brent crude futures jumped 2.06 per cent to $103.24 a barrel
The rupee on Monday fell 15 paise to an all-time low of 80 in intra-day trade before closing at 79.97 (provisional) against the US currency on Monday due to spurt in crude oil prices and foreign fund outflow.
In the interbank forex market, the local unit opened at 79.76 against the greenback but later lost ground to touch a psychological low of 80.00 against the US currency. The local unit recovered some of the lost ground and closed at 79.97 (Provisional), registering a decline of 15 paise from its previous close. The rupee on Friday rebounded from nearly 80 levels to close 17 paise higher at 79.82 against the US currency.
“The Indian rupee opened in the green on firm domestic equity markets and a weak US dollar. However, the rupee weakened in the latter part of the day on buoyancy in crude oil prices and selling pressure by FIIs. FII outflows rose to Rs 1,649 crore. Gaya on Friday,” said Anuj Choudhary, Research Analyst at Sharekhan by BNP Paribas.
Choudhary further said that the rupee is likely to trade with a positive bias towards increased risk appetite in global markets and weakness in the US dollar. Improved global risk sentiment may also support the rupee. “However, fall in crude oil prices and continued selling pressure by FIIs led to a sharp rise in the rupee. USD-INR spot price is expected to trade in the range of Rs 79.20 to Rs 80.80 in the next few sessions,” Choudhary said. ” Told.
The dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.50 per cent lower at 107.52. Global oil benchmark Brent crude futures jumped 2.06 per cent to $103.24 a barrel. On the domestic equity market front, the BSE Sensex closed 760.37 points or 1.41 per cent higher at 54,521.15, while the broader NSE Nifty fell 229.30 points or 1.43 per cent to 16,278.50. Foreign institutional investors were net sell-offs in the capital markets on Friday, selling shares worth Rs 1,649.36 crore, according to exchange data.
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