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Mumbai: The rupee closed up 4 paise at 73.48 against the US dollar on Friday, reflecting broad weakness in the US currency abroad.
In the interbank forex market, the local unit opened at 73.49 against the greenback. During the session, the domestic unit posted an intraday high of 73.42 and a low of 73.55.
On a weekly basis, the rupee gained 2 paise against the US currency.
Meanwhile, the dollar index, which measures the strength of the greenback against a basket of six currencies, fell 0.12% to 92.82.
“The Indian rupee closed flat against the US dollar this week as persistent demand for dollar importers offset the impact of strong local stocks,†said Sriram Iyer, senior research analyst at Reliance Securities.
“Throughout the week, the markets witnessed dollar buys by oil companies and importers, but at the same time, we also saw company entries and cover from exporters who maintained the rupee in a range of 50 paisa, â€Iyer said.
Futures on Brent crude, the world’s benchmark for oil, fell 0.62% to $ 75.20 per barrel.
On the national stock market front, the BSE Sensex finished down 125.27 points or 0.21% to 59,015.89, while the broader NSE Nifty index lost 44.35 points or 0. 25% to end at 17,585.15.
Foreign institutional investors (FIIs) were net buyers in the capital market on Thursday as they bought shares worth Rs 1,621.88 crore, according to exchange data.
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For the coming week, we can expect a moderate start for the USDINR and it is likely that it will move in a range of 73.30 to 74.20 with a bullish bias. Finally, expect the USD-INR pair to embrace more volatility in the days to come.
Given the indicators available, I expect the second quarter numbers to be surprisingly strong, â€India’s chief economic adviser KV Subramanian told ET. “Next year we should have 6.5-7% growth. And then we should be able to accelerate beyond 7% because the reforms we have undertaken will start to fuel strong growth. “
