Rupee snaps 2-day losing streak to close higher against US dollar
Premium- At the interbank forex market, the local unit opened at 74.26 against the greenback and witnessed an intra-day high of 74.07 and a low of 74.39
The rupee snapped its two-day losing streak to settle 10 paise higher at 74.27 (provisional) against the US dollar on Wednesday, following the weakness of the American currency in the overseas market. The domestic currency also surged against the euro as the EUR/INR pair was trading in the range of 88.66-88.68 in Wednesday's session.
At the interbank forex market, the local unit opened at 74.26 against the greenback and witnessed an intra-day high of 74.07 and a low of 74.39.
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It finally ended at 74.27 against the American currency, registering a rise of 10 paise over its previous close.
On Tuesday, rupee had settled at 74.37. The rupee continued to depreciate in the previous session despite positive inflows in domestic equities. Dollar index continued to remain at elevated levels, which kept the rupee under pressure
"The USD-INR spot is following the trend in dollar. Fed's Powell downplaying the threat of tapering is not weighing on the spot, rather Fed rate hike worries has kept all the dollar bulls active," said Rahul Gupta, Head Of Research- Currency, Emkay Global Financial Services as quoted by news agency PTI.
Gupta added that "until the spot tries above 73.75-73.80, it will remain afloat with immediate resistance around 74.50 and then 74.75 zone. While the major supports lies around 73.75-73.50-73.45."
(With inputs from PTI)
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