Rupee settles 70 paise lower at 75.59 against US dollar

The rupee settled 70 paise lower at 75.59 (provisional) against the US dollar on Monday amid rise in coronavirus cases in the country and weak domestic equities.

Forex traders said heavy selling in domestic equities dragged the local unit amid mounting fears of a coronavirus-led economic slowdown.

Moreover, strengthening of the American currency in the international market also weighed on the domestic currency.

At the interbank foreign exchange market, the rupee opened at 75.17. During the day, it lost further ground and finally settled at 75.59, down 70 paise over its previous close.

The rupee had settled at 74.89 against the greenback on Friday.

"On the domestic front, rupee has been under pressure on back of selling by FIIs in equity and debt segment.

"Market participants will be keeping an eye on employment numbers that will be released from the US and weaker-than-expected economic data could keep under dollar weighed down," Motilal Oswal Financial Services Forex & Bullion Analyst Gaurang Somaiyaa said.

The BSE Sensex ended 1,375.27 points or 4.61 per cent lower at 28,440.32. Similarly, the NSE Nifty fell 379.15 points, or 4.38 per cent, to close at 8,281.10.

The number of COVID-19 cases climbed to 1,071 in India on Monday, while the death toll rose to 29, according to the Union Health Ministry.

The dollar was trading 0.59 per cent higher at 98.95 against other major currencies.