MUMBAI: The Indian rupee declined on Tuesday, surrendering the strong gains of the previous session, as importers bought dollars and traders ignored the largely positive sentiment in the broader markets. The rupee fell to 82.8475 per US dollar, compared to its previous close of 82.65.
The currency had notched its best trading day in about two weeks on Monday when the domestic cash dollar market was shut. On its resumption on Tuesday, importers, including oil marketing companies, bought dollars, which weakened the currency, a dealer at a bank said. However, traders have cited the 82.85-82.90 range as a strong support zone for the currency.
Stronger oil prices also played a part in the rupee’s weakness, said Sudarshan Bhattacharjee, principal economist at fixed income-focussed fintech Yubi.
BENGALURU: Indian shares edged higher on Tuesday, aided by an uptick in metal stocks, after China announced it will further ease its strict COVID-19 restrictions, bolstering expectations of demand recovery in the world’s second-largest economy.
The Nifty 50 index was up 0.10% at 18,032.10, as of 11:40 a.m. IST, and the S&P BSE Sensex rose 0.07% to 60,597.35. Both the indexes had risen more than 0.6% earlier in the session, with a pullback in banking stocks prompting the indexes to pare the gains.
Metals led the gains, jumping over 2.7% after top consumer China announced it will stop requiring inbound travellers to go into quarantine starting from Jan. 8, moving further away from a strict “zero-COVID” policy that had disrupted its economic activity.
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