Rupee opens 4 paise down at 64.22 against dollar

The rupee opened 4 paise down at 64.22 against dollar on Friday on account of fresh demand for the American currency from importers and banks amid subdued domestic equity markets.

Angel Commodities said, “USD-INR spot is likely to depreciate on Friday owing to indication by the US Fed of two rate hike possibilities in 2017.”

Of late, the US Fed stuck to its outlook for gradual monetary-policy tightening after they left interest rates unchanged overnight, as expected, but left open the prospect of raising them next month.

The local currency on Thursday settled 3 paise down at 64.18 against dollar.

Meanwhile, the BSE Sensex was trading 50.96 points, or 0.17 per cent, down at 30,075.25 in early trade, while the NSE Nifty index was down 23.80 points, or 0.22 per cent, at 9,336.

Foreign portfolio investors stood net sellers in domestic equity markets on Thursday as they sold shares worth Rs 93.47 crore with gross purchases and gross sales of Rs 4,033.05 crore and Rs 4126.52 crore, respectively.

Bonds ended lower in a lackluster trade on Thursday, as investors dumped notes ahead of fresh supply of upcoming papers . The benchmark 6.97% 2026 bond yield declined to 6.97 per cent from 6.95 per cent on Wednesday.