The rupee fell 19 paise to close at 74.31 against the US dollar on Monday as a stronger greenback against its main rivals and rising crude oil prices weighed on investor sentiment.
In the interbank forex market, the local currency opened at 74.16 and experienced an intraday high of 74.13 and a low of 74.41 against the US dollar in daily trading.
Local unit ultimately settled at 74.31 per dollar, down 19 paise from its previous close. On Friday, the rupee stood at 74.12 against the US dollar.
“The rupee traded weakly as the dollar index rallied on indices of US Fed bond purchases in the coming weeks,” said Jateen Trivedi, senior research analyst at LKP Securities.
Meanwhile, the dollar index, which measures the strength of the greenback against a basket of six currencies, was trading down 0.10% at 93.93.
“The outcome of the OPEC meeting will have an impact on crude prices and the USD / INR pair being a net importer of crude, traders will therefore keep a close eye on the outcome of the OPEC meeting,” Trivedi said, adding that in the future the rupee can be seen between 74.20 and 74.60.
Meanwhile, futures on Brent crude, the world’s benchmark for oil, rose 0.15% to $ 79.40 a barrel.
On the national stock market front, the BSE Sensex ended up 533.74 points or 0.91% to 59,299.32, while the NSE Nifty at large rose 159.20 points or 0.91. % at 17,691.25.
Meanwhile, foreign institutional investors were net buyers in the capital market on Friday as they bought shares worth Rs 131.39 crore, according to exchange data.
(Only the title and image of this report may have been reworked by Business Standard staff; the rest of the content is automatically generated from a syndicated feed.)