Rupee falls 10p to close at 82.40 against dollar

Mumbai: The rupee pared its initial gains to close 10 paise down at 82.40 against the US dollar in a restricted trade on Tuesday.

At the interbank forex market, the local unit opened at 82.21 against the greenback. It witnessed an intra-day high of 82.02 and a low of 82.40 against the American currency during the session.

It finally ended at 82.40 against the US dollar, down 10 paise from its previous close of 82.30.

The dollar index, which measures the greenback's strength against a basket of six currencies, rose 0.18 per cent to 112.24. Brent crude futures, the global oil benchmark, fell 0.27 per cent to USD 91.37 per barrel.

The Indian rupee fell on strong demand for dollars from oil companies and other importers looking to hedge near-term payments, said Sriram Iyer, Senior Research Analyst at Reliance Securities.

Earlier in the session the local unit tested an intraday high of 82.0350 aided by stronger risk appetite after the dollar fell overnight and weakness in the oil prices. However, gains were short-lived.

Most emerging market and Asian peers were weaker this Tuesday afternoon session amid recessionary fears.