Rupee falls 19 paise to close at 81

Rupee falls 19 paise to close at 81.77 against US dollar

The rupee settled 19 paise lower at 81.77 (provisional) against the US dollar on Tuesday, tracking a rebound in the greenback overseas and firm crude oil prices.

Forex traders said sustained foreign fund outflows further weighed on investor sentiment.

The domestic currency finally settled at 81.77, down 19 paise over its previous close.

In the previous session on Monday, the rupee had settled at 81.58 against the US dollar.

The dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.19 per cent higher at 102.40.

Global oil benchmark Brent crude futures advanced 0.46 per cent to USD 84.85 per barrel.

The 30-share BSE Sensex ended 562.75 points or 0.94 per cent higher at 60,655.72, while the broader NSE Nifty advanced 158.45 points or 0.89 per cent to 18,053.30.

Foreign Institutional Investors (FIIs) were net sellers in the capital markets on Monday as they offloaded shares worth Rs 750.59 crore, according to exchange data.

Meanwhile, on the domestic macroeconomic front, India’s exports contracted 12.2 per cent to USD 34.48 billion in December 2022, mainly due to global headwinds, and the trade deficit widened to USD 23.76 billion.

Imports last month also declined 3.5 per cent to USD 58.24 billion as against USD 60.33 billion in the year-ago period.

In December 2021, exports stood at USD 39.27 billion and the trade deficit was at USD 21.06 billion.