Rupee Falls 3 Paise To Close At 74.48 Against Dollar On Monday

Rupee fell 3 paise to close at 74.48 against the dollar on Monday as equity markets back home ran on a muted trend. Forex dealers told lower crude prices in the international market restricted the local currency's fall. 

The local currency opened at 74.38 against the dollar and rose to an intra-day high of 74.31 and fell to an intra-day low of 74.49. Eventually, it settled at 74.48 against the dollar, a 3 paise fall over its previous close. On Friday, the rupee had closed at 74.45 against the greenback. 

The dollar index, which gauges the greenback's strength against a basket of six currencies, declined 0.06 to 95.06.

Moreover, BSE Sensex ended 32.02 points or 0.05 per cent higher at 60,718.71. The broader NSE Nifty rose 6.70 points or 0.04 per cent higher at 18,109.45.

The global oil benchmark, Brent crude future, fell 1.30 per cent to $81.10 per barrel.

Foreign institutional investors were net buyers in the capital market, as they purchased shares worth Rs 511.10 crore on Friday, according to exchange data.

Among the more important macroeconomic data revealed this week, the wholesale price-based inflation spiked to 12.54 per cent in October, mainly due to the rise in prices of manufactured products and crude petroleum.

WPI inflation has remained in double-digit for the seventh consecutive month beginning April. Inflation in September this year was at 10.66 per cent, while in October 2020 it was at 1.31 per cent.

"The high rate of inflation in October 2021 is primarily due to rise in prices of mineral oils, basic metals, food products, crude petroleum & natural gas, chemicals and chemical products etc as compared to the corresponding month of the previous year," the Commerce and Industry Ministry said in a statement.