Rupee opened at 79.85 against the dollar, then declined by 4 paise to open at 79.88 against the previous close
Rupee opened at 79.85 against the dollar, then declined by 4 paise to open at 79.88 against the previous close
The rupee on Tuesday ended 4 paise lower at 79.88 against the US dollar in early trade on a firmer US currency and a risk appetite in domestic markets.
At the interbank foreign exchange, the rupee opened at 79.85 against the dollar, then declined by 4 paise to 79.88 against the previous close.
The rupee had closed at 79.84 against the dollar on Monday.
“The rupee may continue losses this week and possibly test new levels on the prospects of the US Federal Reserve continuing to hike rates,” said Sriram Iyer, Senior Research Analyst, Reliance Securities.
Besides, inflationary concerns may also keep the local unit under pressure. However, the presence of the Reserve Bank of India (RBI) may limit losses in the domestic unit.
The dollar index, which gauges the greenback’s strength against a basket of six currencies, fell 0.18% to 108.89.
“The dollar index declined marginally in Asian trade this Tuesday morning, but the decline was restricted to safe haven flows,” Mr. Iyer said.
Meanwhile, global oil benchmark Brent crude futures rose 0.75% to $97.20 a barrel.
On the domestic equity market front, the 30-share Sensex was trading 60.86 points or 0.10% higher at 58,834.73, while the broader NSE Nifty was up 33.50 points or 0.19% at 17,524.20.
Foreign institutional investors were net sellers in the capital markets on Monday as they sold shares worth Rs 453.77 crore, according to exchange data.