The Indian Rupee depreciated 21 Paise to 74.65 against the US dollar in opening trading on Wednesday, because the increase in crude oil prices and the strength of American currencies in foreign markets was weighed on investor sentiment.
In the interbank foreign exchange, the Rupee opened on a weak record at 74.63, then fell further to 74.65, registering a decline of 21 Paise from the last cover.
On Tuesday, Rupee has settled at 74.44 against the US dollar.
Meanwhile, the dollar index, which measures the greenback’s strength against a basket of six currencies, up 0.14 percent to 94.11.
According to Anil Kumar Bhansali, Chief Treasury, Finrex Finance Department Advisor, there is no effect of Moody viewers about the prospect of India’s ranking for ‘stable’ of ‘negative’, on the rupee because the ranked Sovereign has not been restored.
Moody’s International Rating Agency on Tuesday increases the prospect of India’s ranking for ‘stable’ of ‘negative’, by saying ongoing recovery in the third largest economy in Asia and this fiscal growth will exceed the pre-pandemic level will exceed.
But Moody’s Investors Service but keeps Indian Sovereign rankings in ‘BAA3’ – which is the lowest investment value, just as weighing above the status of garbage.
In fact, because oil touched USD 83 per barrel, Rupee had weakened, said Bhansali, added that the range for rupees would be 74.30 to 74.80.
“Rupee is waiting for monetary policy that starts today. The exporter only sells above 74.80 and importers to buy near the level of 74.40 / 45 for their short-term exposure,” he said.
Investor foreign institutions are clean sellers in the capital market on Tuesday because they lowered shares worth Rs 1,915.08 Crore, according to data exchange.
At the front of the domestic equity market, Sensex 30-shares traded 77.72 points or 0.13 percent lower at 59,667.16. The wider NIFTY NSE traded 27.45 points or 0.15 percent at 17,794.85.
Global Oil Benchmark Brent Crude Futures fell 0.08 percent to USD 82.49 per barrel.
