Business

Rupee sees high volatility against U.S. Dollar Fed policy decision

An India Rupee note is seen in this illustration photo

An India Rupee note is seen in this illustration photo   | Photo Credit: REUTERS

The Rupee witnessed high volatility against the U.S. dollar in opening trade on June 20, after the U.S. central bank left key interest rates unchanged.

The U.S. Federal Open Market Committee kept the key rate in the 2.25-2.5% range.

The Rupee opened strong at 69.47 at the interbank Forex market, but lost ground and touched 69.67 per dollar, displaying gains of just 1 paise against the greenback.

On June 19, the rupee had settled at 69.68 against the U.S. Dollar.

Forex dealers said foreign fund outflows, weak opening of domestic equities and rising crude oil prices weighed on the local unit.

Foreign funds pulled out ₹97.05 crore from the capital markets on a net basis on June 19, provisional data showed.

The benchmark BSE Sensex was trading 34.59 points, or 0.09%, lower at 39,078.15 at 0930 hours. Similarly, the broader NSE Nifty was quoting 23.45 points, or 0.20%, down at 11,668.

Meanwhile, brent crude, the global benchmark, was trading at 62.61 per barrel higher by 1.28 %.

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Printable version | Sep 26, 2020 6:59:41 AM | https://www.thehindu.com/business/rupee-sees-high-volatility-against-us-dollar-fed-policy-decision/article28082238.ece

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