On Friday, the rupee pared its initial losses to rise 4 paise at 82.02 (preliminary) against the US dollar, tracking the US currency’s weakness in overseas markets.
In the interbank foreign exchange market, the local unit opened at 82.12 against the US currency and finally closed at 82.02 (provisional) against the greenback, up 4 paise from its previous close of 82.06.
The rupee touched a high of 81.99 and a low of 82.14 against the dollar during the session.
The dollar index, which shows the strength of the US dollar against a basket of six currencies, fell 0.08 percent to 105.22.
Global Brent oil futures decreased by 0.59 percent and amounted to 81.11 dollars per barrel.
“The Indian rupee depreciated marginally by 0.04 percent on Friday amid weak domestic markets. However, a weaker dollar allowed the decline,” said Anuj Choudhary, research analyst at Sharekhan at BNP Paribas.
The dollar fell from a three-month high on weak US markets and weekly jobless claims data, which rose to 2,11,000 from 1,90,000 the previous week.
“We expect the rupee to trade with a negative bias due to risk aversion in global markets and FII selling pressure. However, a weaker greenback, lower US Treasury yields and lower crude oil prices could dampen the downside,” Choudhary said.
Traders may be wary of data from the US on non-farm payrolls, average hourly earnings and the unemployment rate. Traders may also focus on data on India’s industrial production, which is likely to be better than the previous month, Choudhary said.
In the domestic equity market, the 30-share BSE Sensex fell 671.15 points, or 1.12 percent, to end at 59,135.13, while the broader NSE Nifty fell 176.70 points, or 1 percent, to 17,412.90.
Foreign institutional investors (FIIs) were net sellers in the capital markets on Thursday as they offloaded shares worth Rs 561.78 crore, according to stock exchange data.
(Except for the headline, this story was not edited by NDTV staff and was published on a syndicated channel.)
Featured image of the day
GDP growth slows in Q2, 4.4% growth in Q3