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Rupee ends lower for 2nd day against dollar

24 Dec 2024 Evaluate

Indian rupee extended its slide for the second straight session on Tuesday, dragged by subdued domestic equities and sustained outflow of foreign capital. Foreign Institutional Investors (FIIs) were net sellers in the capital markets on Monday, as they offloaded shares worth Rs 168.71 crore, according to exchange data. Besides, higher dollar demand as well as an upward momentum in crude oil prices due to volatile geopolitical situation pushed the local unit further downward. However, losses remain capped as some support came with data showing that retail inflation for farm workers and rural labourers dipped to 5.35 per cent and 5.47 per cent in November compared to 5.96 per cent and 6 per cent, respectively, in October this year. On the global front, the US dollar rose in thin holiday-impacted trade Tuesday, retaining recent strength as traders prepared for fewer Federal Reserve rate cuts in 2025. 

Finally, the rupee ended at 85.17 (Provisional), weaker by 6 paise from its previous close of 85.11 on Monday. The currency touched a high and low of 85.21 and 85.10 respectively. 


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