Rupee Gains 9 Paise To Finish At 72.96 Against US Dollar

The dollar index advanced 0.32 per cent to 90.74.

The rupee gained 9 paise to settle at 72.96 (provisional) against the US dollar on Friday even as the domestic equity markets closed with significant losses.

At the interbank forex market, the rupee opened at 73.01, and hit an intraday high of 72.93 and a low of 73.01. It finally finished at 72.96, higher by 9 paise over its last close.

On Thursday, the rupee had finished at 73.05 against the American currency.

The dollar index, which gauges the greenback’s strength against a basket of six currencies, advanced 0.32 per cent to 90.74.

Meanwhile, the pre-Budget Economic Survey on Friday said India’s economic growth is likely to rebound with an 11 per cent expansion in the next financial year as it makes a “V-shaped’” recovery after witnessing a pandemic-led carnage.

The Gross Domestic Product (GDP) is projected to contract by a record 7.7 per cent in the current fiscal ending March 31, 2021.

The Economic Survey 2020-21 also said the agriculture sector is the only silver lining while services, manufacturing and construction were most hit by the lockdown that was imposed to curb the outbreak of the COVID-19 pandemic.

On the domestic equity market front, the BSE Sensex ended 588.59 points or 1.26 per cent lower at 46,285.77, while the broader NSE Nifty declined 182.95 points or 1.32 per cent to 13,634.60.

Foreign institutional investors (FIIs) were net sellers in the capital market as they offloaded shares worth Rs 3,712.51 crore on Thursday, according to exchange data.

Brent crude futures, the global oil benchmark, rose 0.41 per cent to $55.76 per barrel.

The domestic currency is likely to strengthen 1.3 per cent and average 73.5 against the US dollar in the financial year 2022-23 compared with an average level of 74.4 in the financial year 2021-22.