Rupee falls 16 paise to 93.06 against dollar

Mumbai: The rupee depreciated 16 paise to close at 93.06 against the US dollar on Tuesday, as investors remained on edge ahead of US President Donald Trump’s deadline for the opening of the Strait of Hormuz and the Reserve Bank’s monetary policy review.

Forex traders said the USD/INR pair is trading under pressure, dragged down by unabated withdrawal of foreign capital, a firm dollar, and higher crude oil prices amid a volatile geopolitical situation.

Moreover, market participants will remain watchful of evolving geopolitical headlines and the upcoming RBI monetary policy decision.

At the interbank foreign exchange market, the rupee opened at 93.05 against the US dollar and touched an intra-day low of 93.12.

During the day, the rupee also touched an intraday high of 92.86 against the greenback.

At the end of Tuesday’s trading session, the rupee was quoted at 93.06, down 16 paise from its previous close.

The dollar index, which gauges the greenback’s strength against a basket of six currencies, was down 0.15 per cent at 99.83.

Brent crude, the global oil benchmark, was trading lower by 1.97 per cent at $107.61 per barrel in futures trade.