Rupee vs Dollar: The weakness in the Indian rupee continues. The last trading day of last week, Friday, saw the biggest single-day fall in three years when the rupee fell by 98 paise. However, after this the rupee got some support due to softening of crude oil prices and intervention of the Reserve Bank of India.
But this strength could not last long. In early trade on Thursday, the rupee again fell by 2 paise and reached the level of 89.24 against the US dollar.
Why the fall in rupee?
The rupee came under pressure due to the unstable global trade environment and increasing demand for dollars by importers. Forex traders say that the new inflow of foreign capital into the domestic stock markets and softening of crude oil prices in the international market are giving some support to the rupee, but the pressure still remains.
In the interbank foreign exchange market, the rupee opened at 89.19 per dollar, after which it slipped to 89.24 in early trade. This shows a weakness of 2 paise compared to Wednesday’s closing price of 89.22.
stock market boom
On the other hand, the dollar index, which shows the strength of the dollar against six major currencies, fell by 0.09 percent to 99.43. A rise was also seen in the domestic stock markets. BSE Sensex rose by 305.82 points (0.36%) to reach 85,915.33 in early trade. NSE Nifty 50 was also seen trading at 26,274.45 with a gain of 69.15 points (0.26%).
International standard Brent crude fell 0.43 percent to $ 62.86 per barrel. According to stock market data, foreign institutional investors (FIIs) were also in a buying position on Wednesday. He bought shares worth a total of Rs 4,778.03 crore.
Also read: Stock market showed strength, Sensex reached near all-time high; Nifty also crosses 26000
