Rupee opened weaker by about 16 paise at 69.84 per US dollar from the Monday's close 69.68 per US dollar. In debt markets, the yields on the 10-year government bonds rose 2.54% to 7.64% from its previous close of 7.45%.
Rupee vs US dollar: After rallying for two straight days to hit 5-month high, the Indian rupee fell as much as 40 paise in the early morning trade against the US dollar on Tuesday, as crude oil prices surged. The domestic unit opened weaker by about 16 paise at 69.84 per US dollar from the Monday’s close 69.68 per US dollar. In debt markets, the yields on the 10-year government bonds rose 2.54% to 7.64% from its previous close of 7.45%.
At 9:15 AM (IST), the rupee was trading at 70.03, up 35 paise from its previous close, after touching an intra-day high of 69.81 per US dollar and an intra-day low of 70.08 per US dollar, according to data available with the Bloomberg website.
On Monday, the domestic unit pared early gains but managed to close the day 4 paise higher at 69.68 against the US dollar.
Meanwhile, the domestic stock markets– Sensex and Nifty– opened mildly lower on Tuesday, tracking weak global cues. The Sensex is down about 75 points to 35,775.71, while the Nifty is trading above the 10,750-level. Bandhan Bank share price plunged by more than 6% to hit the day’s low at Rs 470.85.
Most Asian shares were propped up on Tuesday by hopes that Washington and Beijing may be inching towards a trade deal and that U.S. Federal Reserve would halt its tightening if economic growth slows further, Reuters reported.
Prices of crude oil were up on hopes that resumption of US-Chinese talks in Beijing would bring a halt to trade disputes between the world’s biggest economies. International Brent crude futures were at $57.77 per barrel at 0113 GMT, up 44 cents, or 0.8% from their last close, it added.