Rupee Closes Lower At 68.58 Against Dollar

The rupee declined by 7 paise to close at 68.58 against the US dollar on Wednesday. The domestic currency was pressured by persistent foreign fund outflows and firming crude oil prices. A weak trend at the domestic equity markets and global trade tensions also kept sentiment subdued, said the report citing traders. At the interbank foreign exchange, rupee opened weak at 68.61 and slipped to hit the day's low of 68.67. However, it pared losses to touch a high of 68.48, before finally closing at 68.58, showing a loss of 7 paise over its previous close.   

Here are 5 things to know about rupee-dollar rate today:

1. The rupee had bounced back by 15 paise to close at 68.51 against the greenback on Tuesday.

2. "Rupee has been consolidating in the range of 68.50 and 69.20 for last five sessions. Any level below 68.50 could bring momentum buying in rupee against dollar. Rupee has managed to remain resilient in the recent past despite rising Dollar Index and Brent crude prices," said VK Sharma, head PCG and capital markets strategy, HDFC Securities.

3. Foreign institutional investors (FIIs) remained net sellers in the capital markets, pulling out Rs 605.94 crore on Wednesday, provisional data with NSE showed.               

4. Brent crude futures, the global oil benchmark, surged 1.79 per cent to $65.31 per barrel. The 10-year government bond yield was at 6.54 per cent.           

5. Meanwhile, the S&P BSE Sensex and NSE Nifty 50 Indexes resumed their downward slide after a flat close in yesterday's session. The Sensex ended 174 points lower at 38,557 and the NSE Nifty 50 Index dropped 0.49 per cent or 57 points to 11,499.