Rupee at all-time low of 83.12/USD
The local unit shed 2 paise on a surge in crude oil prices and selling pressure by foreign investors
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New Delhi The rupee depreciated by 2 paise and settled for the day at an all-time low of 83.12 against the US dollar on Monday, weighed down by a surge in crude oil prices and selling pressure by foreign investors. Forex traders said rupee is likely to trade with a negative bias on risk aversion in global markets. At the interbank foreign exchange market, the local unit opened at 83.10 against the US dollar and moved in a range of 83.05 to 83.13 in the day trade. The rupee finally settled at 83.12 against the US dollar, down 2 paise from its previous close. On Friday, the rupee edged lower by 1 paisa to settle at an all-time low of 83.10 against the US dollar, weighed down by a negative trend in domestic equities, and foreign fund outflows. The Indian rupee depreciated on a surge in crude oil prices and selling pressure by foreign investors. However, the weak tone in US dollar and positive domestic markets cushioned the downside, said Anuj Choudhary - Research Analyst at Sharekhan by BNP Paribas.
The US dollar declined after the Chinese central bank reduced a key rate by 10 basis points to 3.45 per cent to stimulate the economy leading to risk on sentiments. “We expect the rupee to trade with a negative bias on rising global crude oil prices and overall strength in the US dollar amid the hawkish US Federal Reserve.
