Rupee opens 2 paise down at 64.54 against dollar; may depreciate further

The rupee opened 2 paise down at 64.54 against dollar on Tuesday on account of buying of American currency by bank and importers amid continued geo-political headwinds.

Meanwhile, domestic equity markets opened in green following mixed global cues. The 30-share BSE Sensex opened 74.12 points, or 0.25 per cent, up at 29,487.78, while the 50-share NSE Nifty index opened 23.70 points, or 0.26 per cent, up at 9,163.

Foreign portfolio investors sold shares worth Rs 312.26 crore on Monday with gross purchases and gross sales of Rs 3,233.02 crore and Rs 3,545.28 crore, respectively.

The local currency on Monday closed 11 paise down at 64.52 against dollar.

On the further movement of rupee, Angel Broking said, “From a weekly perspective, USDINR spot is expected to depreciate towards 64.60 mark amid global tensions which has played with investors sentiment prompting them to play safe and invest in risk free assets.”

Government bonds ended lower for a second day on Monday, after the central bank sold long-duration treasury bills and announced three more such auctions over the next four weeks to absorb excess cash from banks.

The benchmark 6.97% 2026 bond yield rose to 6.85 per cent from 6.82 per cent in the previous session.