INR SETTLES NEAR RECORD LOWS AMID DOLLAR STRENGTH, MUTED EQUITIES

Published on Apr 02, 2024 17:14

The Indian rupee on Tuesday consolidated in a narrow range and settled 4 paise lower at 83.43 against the US dollar, weighed down by a strong dollar and elevated crude oil prices. The dollar index futures that measure the greenback against a basket of currencies raced to 104.72 after US ISM business activity report from March yesterday reported highest growth since September 2022, showing resilience in US economy that could deter the Fed from rushing into rate cuts. US 10-year benchmark treasury yields shot up to 4.35%. Meanwhile, a weak trend in domestic equities also dented investor sentiments. The benchmark S&P BSE Sensex ended the session down 110.64 points, or 0.15 percent, at 73,903.91 after having a hit a low of 73,743.77 earlier. The broader NSE Nifty index recouped most early losses to end down 8.70 points at 22,453.30. At the interbank foreign exchange, the local unit opened at 83.37, then touched an intraday high of 83.34 and a low of 83.44 against the greenback. The rupee finally settled at 83.43, a fall of 4 paise over its previous close.