Mumbai, Aug 28: The rupee rose by 11 paise to close at 87.58 against the US dollar on Thursday aided by a weaker greenback and a decline in crude oil prices.
However, concerns over additional US tariffs on Indian products, which kicked in on Wednesday, and a decline in domestic equity markets capped gains in the local unit, according to forex traders.
The US government has imposed a total of 50 per cent tariffs on Indian exports to America, barring a few sectors.
At the interbank foreign exchange, the rupee opened at 87.56 against the greenback and traded in the range of 87.53-87.68 during the day.
The local unit settled at 87.58, registering a gain of 11 paise from its previous close.
The rupee depreciated 13 paise to close at 87.69 against the US dollar on Tuesday. Equity and forex markets remained closed on Wednesday on account of Ganesh Chaturthi.Brent crude, the global oil benchmark, was trading 0.72 per cent lower at USD 67.56 per barrel in futures trade.
“Brent oil prices fell in Asian trading on Thursday after US data showed a lower-than-expected drop in crude inventories, while investors weighed the impact of additional US tariffs against India,” Anil Kumar Bhansali, Head of Treasury and Executive Director, Finrex Treasury Advisors LLP, said.(PTI)
