Indian rupee lost 15 paise against the US dollar in opening trade on Thursday on the back of strengthening greenback.
At 09:15 AM, the rupee was trading at 73.33 a dollar, down 17 paise from its Wednesday’s close of 73.16. The home currency opened at 73.30 and touched a high and a low of 73.30 and 73.36 a dollar, respectively.
The rupee gained 41 paise to close at more than three-week high of 73.16 against the US currency on Wednesday as global crude oil prices eased and domestic equity markets staged a smart rebound.
However, the gains didn’t last in the Thursday’s session as weak euro-zone economic data fueled investors’ appetite for dollar. Against the dollar, the euro fell as much as 0.79 percent, breaking below the $1.14 level and heading toward its biggest daily loss since late September.
Rupee has gained some ground in the last few sessions amidst falling crude oil prices and selling of the US currency by exporters.
But unabated capital outflows by foreign funds continued to dampen the sentiment, according to market experts.
Domestic institutional investors (DIIs) made purchases worth a net of Rs 116.41 crore, while foreign institutional investors (FIIs) sold shares to the tune of Rs 340.35 crore Tuesday, provisional data showed.
The rupee is the worst performing emerging market currency having lost almost 15 percent since January this year. Between April and September the rupee has plummeted more than 7 to the dollar.
In debt markets, the yields on the 10-year government bonds fell 0.1 percent to 7.86 percent after closing at 7.87 percent on Wednesday. Bond yields and prices move in opposite directions.
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First Published: IST