Mumbai: Rupee Gains 6 Paise to 83.31 Against Dollar Amid Softening Crude Oil Prices
The Indian rupee appreciated by 6 paise to trade at 83.31 against the US dollar on Tuesday, supported by a decline in crude oil prices on the global market.
Forex traders noted that despite some resistance from subdued sentiment in the domestic equity market and a stronger US currency, the rupee opened strong at 83.32 and further strengthened to 83.31 at the interbank foreign exchange market, marking a gain of 6 paise from its previous close.
Last Friday, the rupee had closed higher at 83.37 against the dollar. Forex markets remained closed on Monday due to general elections.
Meanwhile, the dollar index, which measures the greenback against a basket of six major currencies, was trading at 104.57, up by 0.11%.
Market analysts attributed the dollar’s strength to higher US treasury yields, despite the Federal Reserve signaling a cautious approach to inflation assessment.
Brent crude futures, the global benchmark for oil prices, decreased by 0.54% to USD 83.26 per barrel.
In the domestic stock market, the BSE Sensex was trading 71.18 points lower, down 0.10% at 73,934.76 points, while the NSE Nifty slipped 12.00 points or 0.05% to 22,490.00 points.
Foreign Institutional Investors (FIIs) were net sellers during a special trading session on Saturday, having sold shares worth Rs 92.95 crore, according to exchange data.
