Finance
On Tuesday, the rupee fell 20 paise to close at 82.85 (provisional) against the US dollar, weighed down by month-end dollar demand from importers and foreign capital outflows.
The rupee opened lower at 82.71 against the US dollar on the interbank foreign exchange market, with an intraday high of 82.69 and a low of 82.87.
It eventually settled at 82.85, 20 paise lower than its previous close of 82.65.
The dollar index, which measures the strength of the greenback against a basket of six currencies, was 0.27 percent lower at 104.02.
Brent crude futures rose 0.83 percent to USD 84.62 per barrel, the global oil benchmark.
The 30-share BSE Sensex finished 361.01 points higher, or 0.60 percent higher, at 60,927.43, while the broader NSE Nifty climbed 117.70 points or 0.65 per cent to 18,132.30.
According to exchange data, foreign institutional investors (FIIs) were net sellers in capital markets on Monday, selling shares worth Rs 497.65 crore.
“Month-end dollar demand from oil importers and year-end rebalancing foreign fund outflows weighed on the Indian rupee in Tuesday’s trade as it surrendered Monday’s gain. The surge in crude and precious metal prices also weighed on the local unit,” said Dilip Parmar, Research Analyst, HDFC Securities.
The rupee has been stuck in the range of 82.40 to 82.90, lacking the directional move ahead of the year-end.
“In the near term, the rupee is expected to trade between 82.40 to 82.90 against the dollar. The bias for the local currency remains weak as long as it trades below 82.40,” Parmar added.
According to an official announcement made on Monday, China will eliminate quarantine for international visitors beginning January 8, 2019, as it reopens its international borders and exits international isolation after nearly three years.
Source:BS
