Markets

Rupee slips 14 paise to 73.21 against U.S. dollar in early trade

File photo for representation.   | Photo Credit: REUTERS

The Indian rupee slipped 14 paise to 73.21 against the U.S. dollar in early trade on Monday, as rising crude oil prices and weak domestic equities weighed on investor sentiments.

Forex traders said weak Asian currencies and strengthening of the greenback in the overseas market were the other factors that dragged down the local unit.

At the interbank foreign exchange, the domestic unit opened at 73.21 against the dollar, registering a decline of 14 paise over its previous close.

On Friday, the rupee had settled at 73.07 against the American currency.

“Asian currencies have started weaker this Monday against the greenback and will weigh on sentiments,” Reliance Securities said in a research note.

Additionally, rising crude prices will also weigh on sentiments. Currently, Brent is trading near the $73.00/barrel and further gains will weigh on sentiments, the note added.

Global oil benchmark Brent crude futures rose 0.55% to $73.09 per barrel.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies rose 0.01% to 90.56.

On the domestic equity market front, BSE Sensex was trading 158.78 points or 0.30% lower at 52,315.98, while the broader NSE Nifty was down 59.85 points or 0.38% at 15,739.50.

Foreign institutional investors were net buyers in the capital market on Friday as they purchased shares worth ₹18.64 crore, as per exchange data.


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Printable version | Aug 3, 2021 11:05:18 AM | https://www.thehindu.com/business/markets/rupee-slips-14-paise-to-7321-against-us-dollar-in-early-trade/article34809839.ece

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