The rupee was trading in a narrow range in the morning session on April 24 as positive sentiment in domestic equities and fall in crude oil prices were partially negated by a stronger American currency in the overseas market. , Photo Credit: C. Venkatachalapathi
The rupee was trading in a narrow range in the morning session on April 24 as positive sentiment in domestic equities and fall in crude oil prices were partially negated by a stronger American currency in the overseas market.
At the interbank foreign exchange, the rupee opened at 82.08 against the dollar. It touched an early high of 82.05 in early deals.
On April 21, the rupee closed at 82.06 against the US dollar.
Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.02% lower at 101.80.
Global oil benchmark Brent crude futures fell 0.92% to $80.91 a barrel.
On the domestic equity market front, the BSE Sensex was trading 86.9 points or 0.15% higher at 59,741.96, while the broader NSE Nifty advanced 28.95 points or 0.16% to 17,653.
Forex traders said significant foreign fund outflow also weighed on investor sentiment and weighed on the local unit.
Foreign institutional investors were net sellers in the capital market on Friday as they sold shares worth ₹2,116.76 crore, according to exchange data.
“Overall, widening trade deficit, lowering of forward premium and expectation of few more hikes by US Fed will keep rupee’s momentum towards depreciation,” said Amit Pabri, Managing Director, CR Forex Advisors.
Meanwhile, India’s foreign exchange reserves increased by $1.657 billion to $586.412 billion as of April 14, showing an increase for the second consecutive week, according to Reserve Bank of India data released on April 21.