Rupee turns flat at 84.07 against U.S. dollar in early trade

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| Photo Credit: Reuters

The rupee stayed flat at 84.07 against the U.S. dollar in early trade on Tuesday (October 22, 2024) as positive sentiment in domestic equity markets was negated by the unabated outflow of foreign funds.

The local unit resisted the fall on the back of the retreating dollar and a downward movement in the crude oil prices, forex traders said.

At the interbank foreign exchange, the rupee opened at 84.07 against the greenback and traded on a flat note in early deals.

On Monday (October 21, 2024), the rupee settled flat at 84.07 against the U.S. dollar, a tad higher from its all-time low of 84.10 recorded on October 11.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, fell 0.04% to 103.79.

Brent crude, the international benchmark, declined 0.22% to $74.13 per barrel in futures trade.

On the domestic equity market front, Sensex rose 180.46 points, or 0.22%, to 81,331.73 points. The Nifty also advanced 61.25 points, or 0.25%, to 24,842.35 points.

Foreign institutional investors (FIIs) were net sellers in the capital markets on Monday (October 21, 2024), as they offloaded shares worth ₹2,261.83 crore, according to exchange data.

Analysts attributed the unabated outflow of FIIs to a further rate cut by the Chinese central bank and a muted sentiment towards domestic corporate earnings.