Business

Rupee Trades Lower at 66.75 Against US Dollar

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A stronger dollar overseas had a dent on rupee, which extended losses in Friday’s trade to the tune of 14 paise to 66.76 against the American currency.

The domestic currency on Thursday closed the day 6 paise lower to 66.62 against the US currency on fresh dollar demand from banks and importers.

The fall in Index of Industrial Production (IIP) data, and a surge in retail inflation also weighed on the rupee as it dented hopes of an interest rate cut by RBI anytime soon.
Meanwhile, the dollar got a boost overnight after Boston Federal Reserve President Eric Rosengren said the Fed should raise interest rates if data confirms a stronger jobs market and inflation outlook in the second quarter. It was up for a fourth week in five against a basket of major currencies.
The dollar index, which tracks the value of dollar against a basket of six major currencies, gained 0.06 per cent to 94.21.

Among Asian currencies, Korean won fell 0.73 per cent, Ringgit 0.24 per cent and Philippine peso 0.17 per cent against the greenback, while the US dollar was little changed at 108.86 versus yen after gaining about 0.6 per cent overnight.