Five-day upmove halts, rupee ends 6 paise down at 63.46 vs dollar
The rupee slipped by 6 paise at 63.46 against the US dollar due to fresh demand for the American currency from banks and importers amidst strong overseas sentiments.business Updated: Jul 07, 2015 18:36 IST
The rupee slipped by 6 paise at 63.46 against the US dollar due to fresh demand for the American currency from banks and importers amidst strong overseas sentiments.
Besides, the greenback's strength against other Asian currencies and lacklustre local equity markets made the rupee depreciate further, forex dealers said.
Snapping the five-session rising steak, the dollar climbed to a fresh 1-month high against a basket of other major currencies In overseas trade amid Greece's financial crisis and also ahead of the much awaited Eurozone summit scheduled later in the day.
The local currency resumed firmly higher at 63.30 against Monday's closing level of 63.40 at the Interbank Foreign Exchange (FOREX) market on sustained dollar selling by exporters.
However, the rupee suddenly turned volatile and immediately drifted to hit a fresh intra-day low of 63.4825 following robust dollar demand from importers, mainly oil refiners, and a late fall in local stocks, before finishing at 63.46, registering a loss of 6 paise, or 0.09%.
The rupee had strengthened by 44 paise, or 0.69%, over the last five sessions to touch a two-month high.
The US dollar index was up by 0.95% at 97.34.
Crude oil witnessed its biggest one-day fall in five months overnight after Greece rejected bailout terms and Iran edged closer to a nuclear deal with western powers and also heightened concerns about the strength of the Chinese economy.
Meanwhile, the BSE Sensex declined by 37.07 points to settle at 28,171.68 on Tuesday.