The Indian rupee opened weaker against the U.S. dollar on Thursday after an overnight surge in the crude price.
The local currency depreciated two paise to open at Rs 83.31 against the U.S. dollar on Thursday. It closed at 83.29 on Wednesday, according to Bloomberg data.
Reliance Securities expects the rupee to trade between Rs 83.1500 and Rs 83.4500 on Thursday.
Brent crude oil price rose over $79 a barrel, while West Texas Intermediate was near $73, as Middle East supply worries and Houthi attacks continued in the Red Sea.
“US JOLTs jobs openings from November came in below expectations, while ISM’s December manufacturing PMI came in higher than anticipated. FOMC minutes showed that members warned about higher rates for a longer period,” Kunal Sodhani, vice president of Shinhan Bank said. “For USDINR, Rs 83.24 will act as a support and Rs 83.40 as a resistance.”
“The rise in the dollar index has exerted pressure on the rupee around the Rs 83.30 zone, preventing it from moving above this level due to the strength in the dollar. Meanwhile, crude oil prices remained volatile, fluctuating between 76-79$,” Jateen Trivedi, vice president, research at LKP Securities said.
