Rupee moves in narrow range against US dollar in early trade today

The rupee was trading in a narrow range against the US dollar in the morning session today, 25 April due to a weak American currency and a muted trend in domestic equities. Forex traders said foreign fund outflows also weighed on the local unit. At the interbank foreign exchange, the domestic unit opened at 81.95 against the dollar. It touched a high of 81.86 in initial deals.

On Monday (April 24, 2023), the rupee settled at 81.92 against the US dollar.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading at 101.33, down 0.02 per cent. Brent crude futures, the benchmark for crude oil, decreased by 0.229 per cent to $84.58 a barrel. 

In the domestic equity market, the 30-share BSE Sensex was trading 79.81 points or 0.13 per cent higher at 60,135.91 while the broader NSE Nifty was up 27.25 points or 0.15 per cent down at 17,770.65 at 10.43 AM IST on Tuesday.

Foreign institutional investors were net sellers in the capital market on Monday as they offloaded shares worth Rs 412.27 crore, as per exchange data.

"Rupee will remain between the levels of 81.80 to 82.20 as RBI buys dollars at lower levels and inflows continue at higher levels to keep it well boxed in the small range for the moment," Anil Kumar Bhansali, Head of Treasury at Finrex Treasury Advisors LLP, said.

With PTI inputs