Rupee slips 4 paise to 83.48 against US dollar in early trade

Posted on by

The rupee fell 4 paise to 83.48 against the US dollar on Thursday due to a firm American currency and an upward trend in crude oil prices overseas.

The local unit resisted the fall amid the unabated inflow of foreign capital, but gave in to the pressure due to a muted trend in the domestic equity markets, forex traders said.

At the interbank foreign exchange market, the local unit opened at 83.43 and lost further to 83.48 against the greenback, registering a fall of 4 paise from its previous close.

On Wednesday, the rupee settled 1 paisa lower at 83.44 against the US dollar. “The local currency’s upward momentum was halted by a strong US dollar and rising crude oil prices in the international market,” said Anand James, Chief Market Strategist, Geojit Financial Services.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading higher by 0.02 per cent at 104.90.

Brent crude futures, the global oil benchmark, advanced 0.02 per cent to $85.09 per barrel.

In the domestic equity markets, the 30-share BSE Sensex fell 72.43 points or 0.09 per cent to 77,265.16 points. The broader NSE Nifty declined 30.25 points or 0.13 per cent to 23,485.75 points.

Foreign Institutional Investors (FIIs) were net buyers in the capital markets on Wednesday, as they purchased shares worth ₹7,908.36 crore, according to exchange data.