Rupee rises 10ps to 83.87/$

Mumbai: The rupee appreciated 10paise to close at 83.87 against the American currency on Thursday, supported by easing crude oil prices and a firm trend in domestic equities. Forex traders said the market is awaiting cues from the US GDP and the US Personal Consumption Expenditure (PCE) inflation data, as this data point is crucial since it could sway the Federal Reserve’s decision on whether to implement a 25 or 50 basis point rate cut at its September meeting. At the interbank foreign exchange market, the local unit opened at 83.92 and touched an intra-day high of 83.84 against the US dollar. The domestic currency finally settled at 83.87, 10paise higher from its previous close. On Wednesday, the rupee depreciated 4paise to close at 83.97 against the American currency. According to Jateen Trivedi, VP Research Analyst, Commodity and Currency, LKP Securities, the rupee gained 10 paise, as expectations of interest rate cuts continue to provide support, preventing the rupee from falling below 84.00.