Rupee Weakens Against The U.S. Dollar

Rupee depreciated 36 paise to close at 82.49 against the greenback on Tuesday.
<div class="paragraphs"><p>Indian rupee notes. (Photo: Vijay Sartape/BQ Prime)</p></div>
Indian rupee notes. (Photo: Vijay Sartape/BQ Prime)

The Indian rupee depreciated against the U.S. dollar on Tuesday as increased concerns over the spillover effects of the collapse of the Silicon Valley Bank raised demand for the safe-haven currency.

Rupee closed at 82.49, depreciated 36 paise against the greenback on Tuesday.

"Supports for the dollar-rupee spot pair are at 81.8475 and 81.5725, resistances are at 82.4775 and 82.6625," Reliance Securities said in a note. The local unit could also track weak NDF markets and a small recovery in the dollar index including weak Asian currencies, it said.

India's retail inflation slipped to 6.44% in February from 6.52% in January, while still remaining above RBI's tolerance band of 2% to 6%. "This may prompt the monetary authority to weigh an increase in interest rates to the highest level in seven years," it said.


Swastika Mukhopadhyay is a desk writer at BQ Prime, who...more
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