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UAE: Indian rupee recovers from record low – News

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The U.S. dollar index , which measures the greenback’s strength against a basket of six currencies, fell 0.05% to 104.46



Photo: Reuters file

Photo: Reuters file

published: Wednesday, January 4, 2023 at 9:47 am

The Indian rupee recovered from record lows on weaker crude oil prices, gaining 18 paise to 82.82 against the dollar (22.56 to the UAE dirham) in early Wednesday trade.

Persistent foreign outflows and a weaker trend in Indian equities weighed on investor sentiment and limited appreciation bias, currency traders said.

In the Indian interbank foreign exchange market, the South Asian currency opened at 82.87 against the dollar before rising further to 82.82, up 18 paise from the previous close.

On Tuesday, the rupee fell 22 paise to close at an all-time low of 83 against the dollar (22.61 to the UAE dirham).

Meanwhile, the U.S. dollar index , which measures the greenback’s strength against a basket of six currencies, fell 0.05% to 104.46.

Brent crude futures, the global oil benchmark, fell 0.11% to $82.01 a barrel.

“The trend over the past few sessions has been for the rupee to underperform on the back of broad dollar weakness amid continued bids from oil companies and the Reserve Bank of India (RBI),” IFA Global Institute said in a research note.

The rupee fell to 83 in offshore trade but recovered overnight.

It added that it could trade sideways within the familiar 82.65-82.95 range.

In Indian stocks, the 30-share BSE Sensex lost 184.42 points or 0.30 percent to 61,109.78. The broader NSE Nifty fell 56.80 points or 0.31 percent to 18,175.75.

Foreign institutional investors (FIIs) were net sellers in capital markets on Tuesday, selling shares worth Rs 6.28 billion, according to exchange data.

(according to PTI input)

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