New Delhi: The rupee on Monday opened nearly 9 paise down at 74.90 against the US dollar following weakness in the domestic equity market and strengthening dollar index.
Domestic equity benchmark BSE Sensex slipped over 300 points in the early trade tracking losses in index-heavyweights Reliance Industries and HDFC twins amid mixed cues from global equities.
This week, market participants will also be awaiting for the policy statement and a dovish outlook could trigger a move for the currency.
“For the day, we expect USDINR (Spot) to quote in the range of 74.50 and 75.05,” brokerage Motilal Oswal Financial Services said.
Dollar rebounded against its major crosses after remaining under pressure in the past few sessions after the core PCE index in June came in line with expectation.
At the same time, Chicago number beat estimates that lent further support to the greenback. This week, manufacturing PMI and employment numbers will be important to watch and could provide further trigger to the currency.
Earlier, the local currency on Friday closed with a marginal 3 paise gain at 74.81 to the US dollar amid weakness in the greenback against key global peers.
Source:- economicstimes.indiatimes.com