Rupee loses 13 paise to close at 96.42 per US dollar

The rupee on Tuesday closed weaker at 96.42 a dollar, losing 13 paise from the previous close of 96.29, as persistent outflows by overseas investors put pressure on the local currency.

Dollar demand from oil companies added to the woes even as likely intervention from the central bank capped the loss, traders said.

This is the rupee’s weakest closing level in more than two months. The currency saw its all-time low of 96.96 in May.


The rupee opened marginally weaker at 96.32 while the loss extended to 96.45 amid cautious market sentiment.

NSDL data showed that foreign portfolio investors withdrew about $2.4 billion in October alone as they chase safe-haven assets in the absence of any truce between the US and Iran. A net $24.4 billion of FPI investments was flown out of the local markets this year so far.

Now, the market is keenly awaiting the Reserve Bank of India’s monetary policy commentary, while it has largely factored in a 25 basis points rate hike, a forex dealer said.