Rupee rises 1 paisa to 84.04 against dollar

Mumbai: The rupee witnessed a range-bound trade and appreciated 1 paisa to 84.04 against the US dollar on Tuesday, as weak crude oil prices and suspected intervention by the Reserve Bank supported the local currency at lower levels.

Forex traders said the rupee was weighed down by significant foreign fund outflows, a negative trend in domestic equities and the overall strength of the American currency in the overseas market.

At the interbank foreign exchange, the rupee opened at 84.06 against the greenback and traded in a tight range of 84.03 and 84.07. The unit settled for the day at 84.04, registering a rise of just 1 paisa over its previous close.

On Monday, the rupee recovered from its all-time low levels and appreciated 5 paise to close at 84.05 against the US dollar.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.18 per cent lower at 103.11.

FIIs were net sellers in the capital markets

on Monday, as they offloaded shares worth Rs 3,731.59 crore, according to exchange data.