Rupee streak trips on dollar demand, falls 35 paise to 94.04

Mumbai: The Indian rupee snapped its strengthening streak on Thursday to close at 94.04, 35 paise weaker from its previous close of 94.04 as the FX market encountered dollar demand from nationalised banks and importers, traders said.

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The currency traded between 93.61 and 95.06 on the day, gaining in the first half, and weakening through the rest of the day. "The early gains were erased as dollar demand rose due to a hotter-than-expected US inflation data and rising US treasury yields combined with importer dollar demand of about $900 million. This pushed the pair past the 94.00 mark," said Anil Bhansali, head of treasury, Finrex Treasury Advisors. Strong dollar bids from state-run banks also weighed on the rupee, a trader said. However, FPI buying of ₹7,830.6 crores from Indian equities tempered weakness.


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