Indian rupee’s slide continues, hits 20.55 against UAE dirham

Dubai - In the Indian interbank market, the rupee opened on a weak note at 75.41, then fell further to 75.42

The Indian rupee continued to slide on Tuesday morning, falling six paise to 75.42 against the US dollar (20.55 versus the UAE dirham), weighed down by the strengthening of the greenback in the overseas market and firm crude oil prices.

In the Indian interbank market, the rupee opened on a weak note at 75.41, then fell further to 75.42, registering a decline of six paise from the last close. In initial deals, the rupee also touched a high of 75.32 against the American currency.

The dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.03 per cent to 94.34. Global oil benchmark Brent crude futures declined 0.06 per cent to $83.60 per barrel.

“Oil is the main culprit taking USD/INR higher along with US and India yields moving higher. RBI (Reserve Bank of India) is conspicuous by its absence," said Anil Kumar Bhansali, head of treasury at Finrex Treasury Advisors.

“Until oil prices fall or RBI comes and sells dollars, we will not be able to see lower levels," said Bhansali.

He sees the range for the day 75.30 to 75.80 with risk on the upside.

On the Indian equity market front, the 30-share Sensex was trading 37.91 points or 0.06 per cent higher at 60,173.69, while the broader NSE Nifty was trading 12.80 points or 0.07 per cent higher at 17,958.75.

(With inputs from PTI)