Rupee falls 14 paise to 73.16 against U.S. dollar in early trade

Representational image.   | Photo Credit: P.V. Sivakumar

The Indian rupee slumped 14 paise to 73.16 against the U.S. dollar in opening trade on March 8, as rising crude oil prices and strengthening of the American currency in the overseas market weighed on investor sentiment.

At the interbank forex market, the domestic unit opened at 73.13 against the U.S. dollar, then fell further to 73.16 against the American currency, registering a decline of 14 paise over its previous close.

On March 5, the rupee had settled at 73.02 against the American currency.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, rose 0.07% to 92.04.

"Brent crude has firmed over $70/barrel, while U.S. 10-year benchmark continues to harden this Monday and could weigh on sentiments," Reliance Securities said in a research note.

Brent crude futures, the global oil benchmark, rose 2% to $70.75 per barrel.

However, foreign fund inflows into the equity markets, along with corporate dollar flows could cap depreciation bias, the note added.

On the domestic equity market front, the 30-share BSE benchmark Sensex was trading 544.62 points higher at 50,949.94, and the broader NSE Nifty advanced 159.25 points to 15,097.35.

Foreign institutional investors were net sellers in the capital market as they offloaded shares worth ₹2,014.16 crore on Friday, according to exchange data.

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Printable version | Apr 13, 2021 5:00:41 AM |

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