Friday, 30 September, 2022
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Rupee falls 7 paise to 79.89 against US dollar

Rupee falls 7 paise to 79.89 against US dollar

The rupee declined by 7 paise to close at 79.89 (provisional) against the US dollar on Wednesday tracking a strong dollar in overseas markets and losses in the domestic equities.

At the interbank foreign exchange market, the domestic currency opened at 79.93 per dollar. It hovered in a range of 79.84 to 79.94 during the session, reports PTI.

The domestic unit finally settled at 79.89, down 7 paise over its previous close of 79.82. Anuj Choudhary - Research Analyst at Sharekhan by BNP Paribas said that a strong dollar overseas hit the rupee sentiment.

The US Dollar surged as economic data from the US surprised the markets. The US ISM services PMI unexpectedly rose to 56.9 in August from 56.7 in July. However, weak crude oil prices and foreign fund inflows cushioned the downside. "We expect the Rupee to remain weak on a strong US Dollar and weak cues from global markets. Dollar index surged to a fresh 20-year high and is currently trading around 110.45 levels. Recovery in crude oil prices from lower levels may also weigh on rupee," Choudhary said. USDINR spot price is expected to trade in a range of Rs 79 to Rs 80.50 in the next couple of sessions.