Re snaps 3-day rally to settle 13 paise lower
The domestic unit finally settled at 82.69/USD on strong dollar and weak domestic mkts, however, FII inflows cushioned the downside move
image for illustrative purpose
Mumbai: The rupee reversed its three-day rally and depreciated by 13 paise to settle at 82.69 against the US dollar on Friday, tracking strong American currency and negative equity markets.
Rising crude oil prices also weighed on the domestic unit even as foreign fund inflows restricted losses, forex traders said. At the interbank foreign exchange, the domestic unit opened weak at 82.60 and touched the intra-day low of 82.72 against the greenback. It finally settled at 82.69 against the dollar, registering a fall of 13 paise over its previous close.
On Thursday, the rupee appreciated by 16 paise to settle at 82.56 against the US dollar, making it the third straight day of gain. “Indian rupee depreciated on Friday on strong dollar and weak domestic markets. However, FII inflows cushioned the downside. The dollar rose on mixed to positive economic data from the US,” Anuj Choudhary, Research Analyst at Sharekhan by BNP Paribas, said. The latest US government data showed a dip in weekly unemployment claims and an increase in core durable goods orders in July over the preceding month, raising expectations of a further rate hike by the US Federal Reserve.
