Mumbai, Jun 9 (PTI) The rupee on Friday appreciated by 4 paise to close at 82.47 against the US dollar amid a weak trend in the domestic equity market.
Forex traders said a stronger dollar overseas and fresh foreign fund outflows limited the gains in the domestic currency.
At the interbank foreign exchange, the domestic unit opened at 82.49 against the dollar and finally settled at 82.47, up 4 paise from its previous close.
During the session, it touched a high of 82.41 and a low of 82.50 against the greenback.
The rupee had closed at 82.51 against the dollar on Wednesday.
“Rupee was trading in a narrow range of 82.41-82.52 as market participants awaited the upcoming US interest rate decision.
“The currency is expected to maintain its sideways trend in the range of 82.30-82.65. The range of volatility in crude oil prices has played a role in keeping the rupee within its range. Additionally, weakness in dollar index has provided some support to rupee, keeping it above key 82.50 levels,” said Jatin Trivedi, VP Research Analyst at LKP Securities.
The Reserve Bank of India on Thursday opted for a second pause in keeping the key benchmark policy rate at 6.5 per cent, citing moderate inflation.
According to experts, RBI’s monetary policy decision on Thursday to keep interest rates on hold, came as expected, boosting overall sentiment.
Meanwhile, investor concerns over the US Federal Reserve’s interest rate decision due next week kept the dollar in a range-bound range.
The dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.19 per cent to 103.54.
Global oil benchmark Brent crude futures rose 0.38 per cent to $76.25 a barrel.
On the domestic equity market front, the 30-share BSE Sensex closed at 62,625.63, down 223.01 points or 0.35 per cent. The broader NSE Nifty fell 71.15 points, or 0.38 per cent, to 18,563.40.
Foreign institutional investors (FIIs) were net sellers in the capital market on Friday as they sold shares worth Rs 308.97 crore, according to exchange data. pti hva narrowly
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