Rupee falls against US dollar as investors amid selloff in domestic equities

24 Jan 2022 , 01:38 PM

At the interbank forex market, the Indian currency declined against the US benchmark dollar index as investors continue to be fretful over muted domestic equities and higher crude oil prices. Forex traders believe that the rupee is weakening ahead of the US Federal Reserve meeting scheduled for later this week.

The rupee was last seen at 74.58 against the dollar, shedding near 15 paise so far in today’s trade 

The domestic currency opened dull at 74.43 against the US Dollar, then further slipped to 74.58 so far against the dollar, witnessing a decline of 11 paise since its previous closing.

The Dollar index, which builds the dollar’s strength against a basket of six currencies, inched by 0.08% to 95.72.

Investors are anticipating the outcome of the US Federal Reserve’s meeting. They seek a pushback from Chairman Jerome Powell over the pace of interest rate increases, which have already been priced in by global investors, stated Reliance industries in its press note. The upcoming meeting will be an addendum to Fed’s decision to withdraw liquidity and hiking rates for the current fiscal year.

Global benchmark Brent Crude futures jumped by 0.91% to trade at $88.69 per barrel.

Domestic equity indicator Sensex was last seen at 57,595.91, shedding over 1400 points (2.42%) points so far in today’s trade since its previous closing. While Nifty stood at 17,164.90 nosediving by more than 2.5%.