Rupee opens 23 paise lower at 69.11 against US dollar

The rupee opened 23 paise lower at 69.11 against the US dollar on Thursday amid weak global cues. The domestic unit weakened marginally by 2 paise to close at 68.88 on Wednesday on the strengthening of the American currency and robust selling in domestic equities. 

The currency consolidated in a narrow range on Wednesday ahead of the important fiscal number that will be released this week. After the RBI’s first ever rupee-dollar swap auction, the rupee came under pressure, said Gaurang Somaiya, Research Analyst (Currency) at Motilal Oswal Financial Services. 

In the auction, RBI bought dollars totaling $5.02 billion at a premium of Rs 7.76, which works out to an annualized rate of 3.76 per cent. FIIs continued to remain net buyers in the equity and debt segment

taking the total inflow figure to $6.02billion. 

"Sustained fund inflow would continue to keep losses capped for the currency. Today, the USD/INR pair is expected to quote in the range of 69.05 and 69.50," Somaiya added.

Foreign investors (FIIs) infused a total of Rs 1,481.11 crore in the capital market on Wednesday, NSE data showed. 

On the global front, Asian markets slipped in the morning trade as fears of recession sent bond yields spiraling lower across the globe, overwhelming central bank efforts to calm frayed nerves. US stocks ended in the red in the overnight trade.