Rupee falls 14 paise to settle at 83.27 against US dollar
The rupee resumed its downtrend on Tuesday, shedding 14 paise against the US dollar to close at 83.27. Strengthening US dollar against major currencies, weak Asian markets, and rising US Treasury yields dragged the rupee downwards.
The Indian currency opened at 83.19 at the interbank foreign exchange market and hit the intraday high of 83.17. 83.27 was the day”s low. The domestic unit finally settled at 83.27 (provisional), recording a dip of 14 paise from its previous close.
On Monday, the rupee had declined by 19 paise to end at 83.13 against the dollar. Meanwhile, the US dollar surged to a ten-month high after a Federal Reserve policymaker announced that the rate hike cycle may linger for a year, citing the resilience of the US economy. The 10-year US Treasury yields jumped to a 16-year high.
The dollar index, which gauges the dollar”s strength against six major currencies, rose by 0.06% to hit 105.94. Brent crude futures, the global oil benchmark, were trading 0.91% lower at $92.44.
On the domestic equity market front, the BSE Sensex closed 78.22 points or 0.12% lower at 65,945.47. The broader NSE Nifty slipped 9.85 points or 0.05% to settle at 19,664.70.
Foreign institutional investors (FIIs) were net sellers in the capital market on Monday, offloading shares worth Rs 2,333.03 crore, according to exchange data, a PTI report said.
