Rupee jumps 20 paise to 68.12 against dollar in early trade

NEW DELHI: The rupee was trading 20 paise higher at 68.12 against dollar in the early trade on Thursday on account of selling of Amercian currency by bank and exporters.

Meanwhile, domestic equity markets opened with marginal gains following mixed global cues. The 30-share Sensex opened 31.25 points, or 0.12 per cent, up at 27,171.66, while the 50-share Nifty index opened 10.40 points, or 0.12 per cent, up at 8,391.05.

Rupee kicked off 17 paise up at 68.15 against dollar on Thursday against previous close of 68.32 per dollar.

According to Nirmal Bang Commodities, the local currency is likely to trade with a sideways to up movement on Thursday. The currency is expected to trade in the range of 68.10-68.40 on Thursday.

Meanwhile, the RBI on Wednesday fixed the reference rate for the dollar at 68.2276 and euro at 72.3213.

Foreign institutional investors ( FIIs) stood net sellers in equity markets on Wednesday as they offloaded shares worth Rs 105.61 crore with gross purchases and gross sales of Rs 3,597.89 and Rs 3,703.50, respectively, according to the data available with depositor NSDL.

On the further movement of rupee, Abnish Kumar Sudhanshu, Director and Research Head, Amrapali Aadya Trading & Investment said, “Global equity market funds based in America is investing back in US to ride on the prospective growth story which is a strengthening the US dollar. Additionally higher US fund yield also triggering out flows from emerging markets bonds making emerging market currency even weaker. We expect rupee to decline further once US economic revival gain pace in coming months.”