Rupee dips 1 paisa to settle at 90.92 against US dollar
The rupee slipped 1 paisa to settle at 90.92 (provisional) against the US dollar on Thursday, weighed down by a rise in global crude oil prices and a firm greenback against major rivals. However, foreign fund inflows supported the local unit and prevented the decline, forex traders said.
At the interbank foreign exchange, the rupee opened at 90.86 against the greenback and traded in a narrow range of 90.81-90.93 during the session. Eventually, it closed at 90.92 (provisional), down 1 paisa from its previous close. The rupee stayed range-bound and settled with a gain of 4 paise at 90.91 against the US dollar on Wednesday. “We expect the rupee to trade with a negative bias amid geopolitical risks between the US and Iran and trade tariff uncertainty.
Negotiations between the US and Iran are likely to take place in Geneva, and markets will watch out for the outcome of the meeting. Traders may also take cues from weekly unemployment claims data from the US,” Anuj Choudhary, Research Analyst, Mirae Asset ShareKhan, said. USD-INR spot price is expected to trade in a range of `90.60 to `91.20, he added.Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.03 per cent lower at 97.73.
Brent crude, the global oil benchmark, rose 0.21 per cent to $71.00 per barrel in futures trade.On the domestic equity market front, the Sensex dipped 27.46 points to settle at 82,248.61, while the Nifty was up 14.05 points to 25,496.55.On Wednesday, foreign institutional investors purchased equities worth `2,991.64 crore, according to exchange data.
