Indian Rupee: Likely To Stay Under Pressure

12 Aug 2022 , 09:24 AM

Recovery in dollar coupled with elevated crude oil prices are seen weighing on the Indian rupee on Friday. However, sustained foreign fund inflows will likely keep the unit supported. On Thursday, rupee depreciated by 36 paise to close at 79.61 against the US dollar. At the interbank foreign exchange market, the local currency opened at 79.22 and saw an intra-day high of 79.22 and a low of 79.69 against the American currency. It finally ended at 79.61, down 36 paise over its previous close of 79.25. Domestic benchmark indices closed with strong gains on Thursday. Shares got a boost after a softer-than-expected US inflation numbers eased fears of aggressive rate hikes by the US central bank. The S&P BSE Sensex, rose 515.31 points or 0.88% to 59,332.60. The Nifty 50 index gained 124.25 points or 0.71% to 17,659. Foreign portfolio investors (FPIs) bought shares worth Rs 2,298.08 crore, while domestic institutional investors (DIIs), were net sellers to the tune of Rs 729.56 crore in the Indian equity market on 11 August, provisional data showed. Overseas, Asian stocks are mostly trading lower on Friday following strong gains in the previous session as investors digested the U.S. inflation report. US stocks struggled for direction on Thursday before closing mixed. The Dow Jones Industrial Average rose 27.16 points, or 0.08%, to 33,336.67, while the S&P 500 slid 2.97 points, or 0.07%, to 4,207.27 and the Nasdaq Composite dropped 74.89 points, or 0.58%, to 12,779.91. Powered by Commodity Insights