New Delhi, Aug 25 (HS): The Indian rupee ended marginally weaker against the US dollar on Monday, closing 5 paise lower at 87.58 (provisional) after a firm opening, as rising crude oil prices, a stronger dollar index, and sustained foreign investor outflows weighed on the currency.
The rupee had started the day on a positive note, opening 14 paise stronger at 87.39 at the interbank forex market and even touching an intraday high of 87.33. However, increased dollar demand and risk-off sentiment pushed it down, with the currency slipping as much as 29 paise from the day’s peak to 87.62, before recouping some losses to settle at 87.58 per dollar. On Friday, the rupee had closed at 87.53.
Against other major currencies, the Indian unit also ended weaker. It fell 78 paise against the British pound to 118.19 (provisional) and slipped 91 paise versus the euro to 102.41 (provisional).
Ravi Chander Khurana, CEO of Khurana Securities & Financial Services, said the dollar index firmed up after signals from the US Federal Reserve ruling out aggressive rate cuts in the near term, which exerted further pressure on the rupee. He added that markets are eyeing August 27, when the US is set to impose an additional 25 basis point tariff on Indian goods under the Trump administration’s directive. “If implemented, we could see higher capital outflows from Indian markets, intensifying pressure on the rupee,” Khurana noted.
---------------
Hindusthan Samachar / Jun Sarkar
