Rupee Jumps 24ps To 84.33/$

Mumbai: The rupee surged 24paise to 84.33 against the US dollar on Monday, supported by a sharp decline in crude oil prices and a positive trend in domestic equities. Robust equity inflows -- totalling Rs 2,769.81 crore -- reflect continued foreign investor interest in Indian assets, forex traders said, adding while capital inflows offer support, global uncertainties could cap gains.

At the interbank foreign exchange, the domestic unit opened at 84.45 and moved between the intra-day high of 84.10 and the low of 84.47 against the greenback. The unit ended the session at 84.33, registering a gain of 24paise over its previous closing level. On Friday, the rupee witnessed high volatility as it hit a seven-month high and rose past the 84 per dollar level but pared all gains to settle 3paise lower at 84.57 against the greenback. Jateen Trivedi, VP Research Analyst - Commodity and Currency, LKP Securities, said sustained FII inflows continued to support the domestic currency. “Additionally, a sharp decline in crude oil prices down over 20 per cent year-to-date has provided a further cushion, easing India’s import bill and supporting macro fundamentals.

Going ahead, the rupee is expected to trade in a range of 84.00 to 84.75, with continued global risk sentiment and commodity movements guiding intraday volatility,” he said.