Rupee rises 2 paise to close at 83.95 against US dollar

Mumbai, Aug 14 (PTI) The rupee traded in a narrow range to settle 2 paise higher at 83.95 (provisional) against the American currency on Wednesday, helped by a sharp decline in the US Dollar against major currencies overseas.

Forex traders said a mixed-to-positive tone in the domestic market also supported the rupee.

However, foreign fund outflows and geopolitical tensions in the Middle East restricted the rise in the local unit.

At the interbank foreign exchange market, the local unit opened at 83.90 but soon fell into the negative zone and touched an intra-day low of 83.97 against the American currency.

The domestic unit finally settled at 83.95 (provisional) against the American currency, 2 paise higher from its previous close.

On Tuesday, the rupee settled for the day on a flat note at 83.97 against the US dollar.

“We expect the rupee to trade with a slight negative bias on elevated commodity prices and heightened geopolitical tension in the Middle East between Israel and Iran.

“However, the weak Dollar and rising odds of a rate cut by the US Fed may support the rupee. Positive global markets may also support the rupee at lower levels,” said Anuj Choudhary – Research Analyst at Sharekhan by BNP Paribas.

Choudhary further noted that traders may take cues from US CPI data today. “USD/INR spot price is expected to trade in a range of Rs 83.75 to Rs 84.20,” it added.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.13 per cent lower at 102.42.

Forex traders said the US dollar has weakened against majors post the US Producer Price Index (PPI) print, which came in softer than anticipated, leaving the Dollar Index vulnerable to further correction.

Brent crude, the global oil benchmark, advanced 0.28 per cent to USD 80.92 per barrel.

On the domestic equity market front, Sensex advanced 149.85 points, or 0.19 per cent, to 79,105.88 points. The Nifty rose 4.75 points, or 0.02 per cent, to 24,143.75 points.

Foreign institutional investors (FIIs) were net sellers in the capital markets on Tuesday, as they offloaded shares worth Rs 2,107.17 crore, according to exchange data.

On the domestic macroeconomic front, wholesale inflation fell to a 3-month low of 2.04 per cent in July on the decline in prices of food items especially vegetables, government data released on Wednesday showed.

Hot this week

Pay hike of Assam ministers, MLAs likely as 3-member panel submits report

Full report likely by Oct 30 Guwahati Sept 25: There...

Meghalaya man missing in Bangkok

Shillong, Jan 10: A 57-year-old Meghalaya resident, Mr. Treactchell...

Meghalaya Biological Park Inaugurated After 25 Years: A New Chapter in Conservation and Education

Shillong, Nov 28: Though it took nearly 25 years...

ANSAM rejects Kuki’s separate administration demand, says bifurcation not acceptable

Guwahati, Sept 8: Rejecting the separate administration demand of...

Meghalaya’s historic fiber paves the way for eco-friendly products and sustainable livelihoods

By Roopak Goswami Shillong, Oct 25: From making earbuds to...

No headway in search for missing tourist in Meghalaya

Shillong, Jun 5: Rescuers on Thursday made no headway...

Govt wants 3 categories of teachers only: Minister  

Process for provinciliasation of deficit schools, colleges under way:...

NPP gears up for GHADC polls

Shillong, June 5: The National People’s Party (NPP) has...

Trump, Xi hold telephone talks, agree to continue negotiations to reach trade deal

Beijing/Washington, Jun 5: Chinese President Xi Jinping and his...

TMC MP Mahua Moitra marries BJD’s Pinaki Mishra, thanks all for their wishes

Kolkata, Jun 5: Trinamool Congress MP Mahua Moitra on...

Tourist Couple Case : Paul slams national media for ‘misreporting’  

Growth of Meghalaya’s tourism sector seen as a ‘threat’:...

Congress demands CBI probe into Kaziranga mining scandal, alleges nexus between CM and KAAC Chief

Guwahati, June 5: Citing the Central Empowered Committee (CEC)...

CM urges citizens to own up responsibility for environment  

1.84 crore saplings planted in past 5 years **...
spot_img

Related Articles

Popular Categories

spot_imgspot_img