Rupee Rises 4ps To 83.96/$

Mumbai: The rupee rose 4paise to close at 83.96 against the US dollar on Tuesday, tracking a recovery in the domestic equity markets after six consecutive sessions of free fall. A weakening dollar against international currencies further boosted the domestic unit, forex traders said, but added that a rise in crude oil prices and increased foreign fund outflows capped sharper gains. Some experts said the markets rebounded following the BJP’s victory in the Haryana assembly elections, which in turn helped the rupee. At the interbank foreign exchange, the rupee opened at 83.97 against the greenback and traded in the range of 83.92-83.97 during the day. It settled at 83.96 against the US dollar, 4paise higher than its Monday’s close of 84.00.

“The rupee gained... on positive domestic markets which recovered after the BJP, the ruling party in Haryana, won the state assembly elections for the third term, defying the exit polls. However, weak tone in global markets capped sharp gains,” Anuj Choudhary, Research Analyst at Sharekhan by BNP Paribas, said.