Rupee settles on flat note at 83.51 against US dollar
At the interbank foreign exchange market, the local unit traded in a narrow range. It opened at 83.50, and touched an intraday high of 83.49 and a low of 83.52 during the day.
The rupee settled for the day on a flat note at 83.51 (provisional) against the US dollar on Wednesday, as the support from easing crude oil prices was negated by strong dollar demand.
Forex traders said a muted trend in domestic equities and significant foreign fund outflows dented investors' sentiments.
At the interbank foreign exchange market, the local unit traded in a narrow range. It opened at 83.50, and touched an intraday high of 83.49 and a low of 83.52 during the day. The local unit finally settled for the day at 83.51 (provisional), unchanged from its previous close.
On Tuesday, the rupee closed at 83.51 against the American currency.
"The Indian rupee traded flat to negative on weak domestic markets and strong US dollar. FII outflows also weighed on the rupee. However, a decline in crude oil prices cushioned the downside," said Anuj Choudhary, Research Analyst, Sharekhan by BNP Paribas.
"We expect the rupee to trade with a slight negative bias amid strength in the greenback and continued selling pressure by foreign investors. Positive global equities may support riskier currencies.
"Weakness in crude oil prices may support rupee at lower levels. USD-INR spot price is expected to trade in a range of Rs 83.30 to Rs 83.75," Choudhary added.
Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was at 105.53, higher by 0.12 per cent as the US dollar gained on hawkish Fedspeak and geopolitical tensions in the Middle East.
Brent crude futures, the global oil benchmark, fell 1.37 per cent to USD 82.02 per barrel.
On the domestic equity market, the 30-share BSE Sensex fell 45.46 points, or 0.06 per cent to close at 73,466.39 points. The broader NSE Nifty settled flat at 22,302.50 points.
Foreign Institutional Investors (FIIs) were net sellers in the capital markets on Tuesday as they offloaded shares worth Rs 3,668.84 crore, according to exchange data.
Catch all the highlights of the May 8 session on Dalal Street here. For all other news related to business, politics, tech and auto, visit Zeebiz.com.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
Gold and Silver rate today (May 29, 2024): Precious metal futures trade in green; yellow metal above Rs 72,250, white metal above Rs 95,500
Gold and Silver rates today (May 27, 2024): MCX gold jumps after sharp losses last week, silver nears Rs 92,100/kg levels
Rs 5,000 and 10,000 monthly deposits give you Rs 3,56,830, and Rs 7,13,659 on maturity in this small savings scheme
Shark Tank India: This startup gets blank check offer as revenue soars 10 times in 15 months, resulted in clash between judges
Hindustan Unilever, Polycab India and 3 other stocks can offer up to 50% return in 1 year - Check targets by brokerage
Tata Steel final dividend: Steelmaker announces 360% dividend alongwith Q4FY24 earnings, check record and payment dates
Top 5 large and mid cap SIP mutual funds in 5 Years: Rs 20,000 SIP in top fund has given a total of Rs 28.22 lakh
04:11 PM IST