The rupee weakened to 64.67 on fresh dollar demand from banks and importers. Also, a weak domestic equity market dampened the rupee sentiment.

The domestic unit opened strong at 64.53 at the Interbank Foreign Exchange market today. It hovered in a range of 64.67 and 64.57 before quoting at 64.62, down 3 paise at 4.50 pm local time.

The US Federal Reserve had on Wednesday kept the interest rates unchanged and kept the window open for a December hike.

The US dollar fell on Thursday, giving up some of its gains this week, as investors took profits after the US Federal Reserve left interest rates unchanged on Wednesday, as expected, with markets widely expecting a rate hike at its next meeting.

Against a broad basket of currencies, the dollar was 0.2 per cent lower at 94.67.

Yesterday, the rupee had surged 16 paise to end at an over one-month high of 64.59 against the US currency due to heavy dollar selling.

Meanwhile, the 30-share BSE index Sensex ended lower by 27.05 points or 0.08 per cent at 33,573.22 against the previous close of 33,600.27.

(This article was published on November 2, 2017)
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