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Rupee depreciates against dollar on Thursday

26 Oct 2023 Evaluate

Rupee settled lower against dollar on Thursday dragged down by massive selling in equity markets and strengthening American currency overseas. Traders were worried amid rising US bond yield that may result in more fund outflows from India. Investors overlooked report that investment in the Indian capital markets through participatory notes rose over a six-year high at Rs 1.33 lakh crore at September-end, making it the seventh consecutive monthly increase, on the back of robust macroeconomic fundamentals. On the global front, the dollar was buoyant on Thursday, hovering at a near three-week high as Treasury yields rose and appetite for riskier currencies dimmed, while the yen briefly surged after breaching 150.50 per dollar, keeping traders jittery about intervention.  

Finally, the rupee ended at 83.25 (Provisional), weaker by 8 paise from its previous close of 83.17 on Wednesday. The currency touched a high and low of 83.25 and 83.18 respectively.

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