Rupee slips 2 paise to close at 77.57 against U.S. dollar
The Hindu
Mumbai: The rupee declined 2 paise to close at 77.57 (provisional) against the United States doll
The rupee declined 2 paise to close at 77.57 (provisional) against the United States dollar on Thursday, as firm crude prices and relentless foreign capital outflows dented investor sentiment.
However, a rally in domestic equities and a weak American currency in the overseas market restricted the rupee's fall, traders said.
At the interbank foreign exchange market, the rupee opened at 77.54 against the greenback and touched an intra-day low of 77.65 and a high of 77.52.
It finally settled at 77.57, down 2 paise over its previous close of 77.55.
"Indian rupee in line with other regional currencies, particularly the Chinese yuan, has depreciated against American Dollar on an expectation of weaker growth and hawkish central banks. Month-end dollar demand and higher crude oil prices also weighed on the local units," said Dilip Parmar, Research Analyst, HDFC Securities.
Inflation remains the most-watched driver for investors, while markets have moved on from peak inflation fears to growth fears amid the Russia-Ukraine war, Fed tightening and Chinese zero-Covid policy, he added.
"Spot $/₹ is expected to trade in the range of 77.30 to 77.75 ahead of the May month settlement," he noted.