Forex

Rupee snaps 4-day winning streak, drops 9 paise vs USD

PTI Mumbai | Updated on March 16, 2021

The rupee snapped its four-session winning run to close 9 paise lower at 72.55 against the US dollar on Tuesday as muted domestic equities and a strengthening greenback overseas weighed on market sentiment.

At the interbank forex market, the local unit opened at 72.46 against the American currency and witnessed an intra-day high of 72.37 and a low of 72.64.

It finally ended at 72.55, registering a fall of 9 paise over its previous closing. On Monday, the rupee had settled at 72.46.

"Indian Rupee depreciated amid strong dollar and muted domestic markets. Further, rupee slipped on disappointing macroeconomic data," said Saif Mukadam, Research Analyst, Sharekhan by BNP Paribas.

Additionally, market remained cautious ahead of major central banks monetary policy meetings, Mukadam said.

However, sharp downside was prevented on softening of crude oil prices.

Crude oil prices slipped on concern about slow pace of vaccination in the EU after Germany, France and Italy joined other European nations to hit pause on the AstraZeneca Covid-19 vaccine, Mukadam said.

Rupee may trade in the range of 72.25 to 73.00 in next couple of sessions, he added.

The dollar index, which gauges the greenback's strength against a basket of six currencies, advanced 0.04 per cent to 91.87.

Published on March 16, 2021

Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

This article is closed for comments.
Please Email the Editor