Indian rupee closed 19 paise down at 66.70 against the US dollar on Thursday due to increased demand for the American currency from importers and banks.
Indian rupee closed 19 paise down at 66.70 against the US dollar on Thursday due to increased demand for the American currency from importers and banks. Further, firming dollar against other currencies overseas too weighed on the rupee. During the day, the local currency touched a high of 66.56 and low of 66.70 level against the US dollar. On the global front, the dollar stuck to narrow ranges against its major rivals in Asian trade, ahead of this week’s nonfarm payrolls report that could reinforce expectations that the US Federal Reserve will hike interest rates by December.
On the other hand, domestic equity markets pared their initial gains and closed in red on account of profit booking. The BSE Sensex closed 115 points down at 28106.21, while NSE Nifty index settled 34.40 points down at 8,709.55.
The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 66.57 and for Euro stood at 74.65 on October 5, 2016. While the RBI’s reference rate for the Yen stood at 64.70, the reference rate for the Great Britain Pound (GBP) stood at 84.48.The reference rates are based on 12 noon rates of a few select banks in Mumbai.
Earlier, the local currency opened nearly 6 paise down at 66.57 against the US dollar.
Foreign institutional investors stood net buyers in the Indian equity markets as they bought shares worth of Rs 655.65 crore on Thursday.