INR/AED in tight range, foreign outflows weigh – News

Foreign outflows weigh on South Asian currencies

The Indian rupee traded within a narrow range against the US dollar in early trade on Tuesday amid a weaker US dollar and weaker Indian stock markets. Foreign outflows also weighed on South Asian currencies, currency traders said.

In the Indian interbank foreign exchange market, the rupee opened at 81.95 against the dollar (22.33 against the UAE dirham). It touched a high of 81.86 (22.30 against AED) in initial trade.

The rupee closed at 81.92 against the dollar on Monday.

Meanwhile, the U.S. dollar index , which measures the greenback’s strength against a basket of six currencies, was at 101.33, down 0.02%.

Brent crude futures, the global oil benchmark, fell 0.01% to $82.72 a barrel.

In Indian stocks, the BSE Sensex fell 4.41 points or 0.01 percent to 60,051.69, while the broader NSE Nifty shed 2.40 points or 0.01 percent to 17,741.00.

Foreign institutional investors were net sellers in the capital market on Monday, as they sold shares worth 4.12 billion rupees, according to exchange data.

“The rupee will remain in a range of 81.80 to 82.20 as the RBI buys dollars at lower levels while inflows continue at higher levels to keep it in a small range for now,” said Anil Moore, director of finance at Finrex Treasury Advisors. Kumar Bhansali means Limited Liability Partnership.