Rupee gains 14 paise to close 2022 at 82.73 against U.S. dollar

The rupee ended the year on a negative note, with a loss of 844 paise or 11.36%, primarily led by a strong dollar against its major crosses overseas

The rupee gained 14 paise to close at 82.73 (provisional) against the U.S. dollar in the last trading session of 2022, as the American currency retreated from its elevated levels and a rising appetite for riskier assets among investors.

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The local currency, however, ended the year on a negative note, with a loss of 844 paise or 11.36%, primarily led by a strong dollar against its major crosses overseas.

The greenback climbed in the overseas market as the U.S. Federal Reserve raised rates aggressively following surging inflation.

At the interbank foreign exchange market, the local unit opened at 82.77 and touched an intra-day high of 82.70 and a low of 82.82 against the greenback. It finally settled at 82.73, registering a rise of 14 paise over its previous close of 82.87.

On December 31, 2021, the rupee settled at 74.29 against the U.S. dollar.

According to Anuj Choudhary — Research Analyst at Sharekhan by BNP Paribas, the rupee appreciated on Friday on softness in U.S. dollar and risk-on sentiments in global markets.