The rupee depreciated 4 paise to 82.41 against the U.S. dollar in early trade. Image for representation purpose only.
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The rupee depreciated 4 paise to 82.41 against the U.S. dollar in early trade on May 18, as weak Asian peers and strong American currency weighed on investor sentiments.
Forex traders said a positive trend in domestic equities supported the local unit and restricted the depreciating bias.
At the interbank foreign exchange, the domestic unit opened at 82.36 against the dollar, then fell to 82.41, registering a decline of 4 paise over its last close.
On Wednesday, the rupee settled at 82.37 against the dollar.
The Indian rupee opened marginally weaker against the greenback this early Thursday morning as hawkish Fed speak, weak Asian peers and slightly stronger oil prices weighed on sentiments, Sriram Iyer, Senior research analyst at Reliance securities, said.
However, hopes of a deal on the debt ceiling could calm investors’ nerves and aid sentiments, Mr. Iyer said, adding that the Reserve Bank of India’s presence could not be ruled out to curb excess volatility.
The dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.03% to 102.91.
Brent crude futures, the global oil benchmark, fell 0.26% to $76.76 per barrel.
In the domestic equity market, the 30-share BSE Sensex was trading 211.39 points or 0.34% higher at 61,772.03. The broader NSE Nifty advanced 59.15 points or 0.33% to 18,240.90.
Foreign Institutional Investors (FIIs) were net buyers in the capital markets on Wednesday as they purchased shares worth ₹149.33 crore, according to exchange data.
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