Rupee falls 6 paise to fresh all-time low of 84.37 against US dollar

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The rupee declined 6 paise to adjacent astatine a caller beingness debased of 84.37 (provisional) against the U.S. dollar connected Thursday (November 7, 2024), arsenic anemic home equities and sustained overseas money outflows dented marketplace sentiment.

Forex traders said investors were besides cautious up of the U.S. Fed gathering outcome. Moreover, overnight gains successful crude lipid prices besides weighed connected the section unit.

“However, a correction successful the dollar scale against large currencies helped the rupee and restrained the slide,” they added.

At the interbank overseas exchange, the rupee opened astatine 84.26 against the U.S. dollar. During the session, the section currency touched a precocious of 84.26 and a debased of 84.38. It yet settled astatine 84.37 (provisional), a nonaccomplishment of 6 paise against its erstwhile close.

On Wednesday (November 6, 2024), the rupee depreciated 22 paise to adjacent astatine an all-time debased of 84.31 against the U.S. dollar.

The rupee touched caller grounds lows again connected the backmost of anemic home equities and sustained FII outflows. Overnight gains successful crude lipid prices besides weighed connected the rupee. However, the softening of the U.S. Dollar scale from Wednesday's (November 6, 2024) highs cushioned the downside, forex traders said.

Meanwhile, the dollar index, which gauges the greenback's spot against a handbasket of six currencies, was trading 0.22% little astatine 104.86.

Brent crude, the planetary lipid benchmark, fell 0.32% to $74.68 per tube successful futures trade.

"We expect the rupee to commercialized with a antagonistic bias connected wide spot successful the US Dollar connected the backmost of Donald Trump’s triumph successful the US Presidential elections and FII outflows. However, softening of commodity prices amid easing geopolitical hazard premium whitethorn enactment the rupee astatine little levels," said Anuj Choudhary – Research Analyst astatine Sharekhan by BNP Paribas.

Any involution by the RBI whitethorn besides enactment the rupee astatine little levels. Traders whitethorn instrumentality cues from play unemployment claims information from the US and FOMC gathering decisions. The Bank of England's monetary argumentation determination is besides due.

BoE and FOMC are expected to chopped involvement rates by 25 bps. USD/INR spot terms is expected to commercialized successful a scope of 84.15 to 84.60, Choudhary said.

In the home equity market, the 30-share BSE Sensex fell 836.34 points, oregon 1.04%, to adjacent astatine 79,541.79 points, portion Nifty declined 284.70 points, oregon 1.16%, to settee astatine 24,199.35 points.

Foreign organization investors (FIIs) were nett sellers successful the superior markets connected Wednesday (November 6, 2024), arsenic they offloaded shares worthy ₹4,445.59 crore, according to speech data.

Published - November 07, 2024 04:52 p.m. IST