The rupee rose by 8 pounds to close to 76.16 against the US dollar as oil fell

On Monday, the rupee rose 8 pounds to close at 76.16 against the US dollar after a drop in crude oil prices and gains in local stocks.

Forex dealers said a strong US currency abroad and concerns about renewed foreign capital outflows limited gains in the domestic unit.

In the interbank forex market, the local unit opened weak at 76.36 but entered positive territory later in the session. The intraday high was seen at 76.15 and the low at 76.38.

The rupee closed at 76.16, recording an increase of 8 pounds from its previous close. In the previous session, the rupee settled at 76.24 against the US dollar.

“The rupee has been swinging between 76 and 76.50 in the last six trading sessions. Even after the stronger dollar index, the rupee was able to add gains amid lower crude oil prices, rising stocks and dollar selling companies.

“The fate of the rupee will be decided by the movement of crude oil prices and risk sentiment. The US dollar against the spot Indian rupee is expected to trade in the 76-76.50 range this month,” said Dilip Parmar, Research Analyst, HDFC Securities.

Meanwhile, the dollar index, which measures the strength of the US currency against a basket of six currencies, rose 0.32 percent to 99.13.

Brent crude futures, the global oil standard, fell sharply by 3.56 percent to $116.35 a barrel.

On the local stock market front, the BSE Sensex index closed up 231.29 points, or 0.40 percent, at 57,593.49, while the broader NSE Nifty index advanced 69 points, or 0.40 percent, to 17,222 points.

Foreign institutional investors remained net sellers in the capital market on Monday, selling shares worth Rs 801 crore, according to stock exchange data.

Foreign investors withdrew a net of Rs 1,14,855.97 crore from Indian markets in the current year so far, amid mounting geopolitical tensions and inflation fears.

Foreign portfolio investors have sold Rs 48,261.65 crore so far this month, bringing the year-to-date earnings to Rs 1,14855.97 crore, according to filing data.

(The title and image for this report may have been reformulated only by the Business Standard staff; the rest of the content is automatically generated from a shared feed.)

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