“The Indian currency remained under pressure due to volatile crude oil prices and persistent foreign fund outflows,” according to forex traders.
| Photo Credit: The Hindu
The Rupee settled one paisa higher at 82.89 (provisional) against the U.S. dollar on March 5 amid a strong greenback against major rivals overseas and a negative trend in equity markets.
“The Indian currency remained under pressure due to volatile crude oil prices and persistent foreign fund outflows,” according to forex traders.
At the interbank foreign exchange market, the local unit opened at 82.90 and oscillated between 82.88 and 82.93 against the greenback during intra-day deals. The currency finally settled at 82.89 (provisional), up one paisa from its previous close. On March 4, the Rupee settled one paise lower at 82.90 against the U.S. dollar.
Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.05% to 103.83. Brent crude futures, the global oil benchmark, fell 0.05% to $82.76 per barrel.
On the domestic equity market front, Sensex declined 195.16 points or 0.26% to settle at 73,677.13. The Nifty fell 49.30 points or 0.22% to close at 22,356.30.
A monthly survey released on March 5 showed India’s services sector growth moderated in February amid softer expansions in business activity, sales and jobs. The seasonally adjusted HSBC India Services Business Activity Index registered 60.6 in February, down from 61.8 in January.
Foreign institutional investors (FIIs) were net sellers in the capital markets on March 4 as they offloaded shares worth ₹564.06 crore, according to exchange data.
