Rupee settles 7ps lower at 89.43/$

Mumbai: The rupee dropped 7paise to settle at 89.43 (provisional) against the US dollar, tracking a strong greenback and a rise in crude oil prices in the international market. The Indian currency was also weighed down by subdued equity market sentiment and the withdrawal of foreign funds, even as investors keenly awaited the release of domestic macroeconomic data later in the day, forex traders said.

At the interbank foreign exchange market, the rupee opened at 89.41 and touched the intra-day low of 89.49 against the greenback.

It finally settled at 89.43 (provisional) against the US dollar, registering a loss of 7paise from the previous close.

The rupee depreciated 14paise to settle at 89.36 against the US dollar on Thursday. Anuj Choudhary, Research Analyst at Mirae Asset ShareKhan, said the Indian rupee traded on a negative bias amid a recovery in the US dollar index and mixed-to-weak domestic markets. FII outflows and overnight gains in crude oil prices also pressured the rupee.

“We expect the rupee to trade with a slight positive bias on rising odds of a rate cut by the Fed in December and easing geopolitical tensions,” Choudhary said, adding, “USD-INR spot price is expected to trade in a range of 89.25 to 89.70.”