Rupee Ends Flat; Rises 1ps At 84.07/$

Mumbai: The rupee traded on a flat to positive note and settled 1 paisa higher at 84.07 against the US dollar on Monday, on positive domestic markets and a sharp decline in crude oil prices. Forex traders said the rupee traded in a narrow range during the day as the strong dollar weighed on the local unit, while positive domestic equities, weak crude oil prices and suspected intervention by the Reserve Bank of India (RBI) supported the local currency at lower levels. At the interbank foreign exchange, the rupee opened at 84.08 against the greenback. It traded in a tight range and ended the day at 84.07, registering a rise of 1paisa over its previous close.

On Friday, the rupee edged lower by 1paisa to settle near an all-time low at 84.08 against the US dollar. The local currency touched its lowest closing level of 84.10 against the dollar on October 11. Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.02 per cent higher at 104.27. According to traders, the rupee remains under intense pressure, mainly due to persistent foreign fund outflows. “We expect the rupee to trade with a negative bias on overall strength in the US dollar and sustained FII outflows.