Rupee opens 16 paise down against dollar

The rupee on Wednesday opened 16 paise lower at 71.18 against the US dollar on account of buying in American dollars by banks and imports amid unabated foreign fund outflows.

The local currency on Monday closed 14 paise down at 71.02 against the greenback. Forex market was closed on Tuesday on account of Dussehra.

On the domestic front, market participants will be keeping an eye on the industrial production number. There are hopes that the figure could grow at a slower pace in August compared to the previous month.


“Today, USDINR pair is expected to quote in the range of 71.05 and 71.70,” Motilal Oswal Financial Services said.

Dollar rose against its major crosses in the last couple of sessions as uncertainties rose between US and China ahead of trade talks.

The trade talks in Washington are taking place days before US tariffs on $250 billion worth of Chinese goods are slated to rise to 30 per cent from 25 per cent.