Indian rupee slips against UAE dirham as dollar strengthens

Indian rupee slips against UAE dirham as dollar strengthens

The Indian rupee slipped 12 paise to 77.62 against the US dollar (21.14 versus the UAE dirham) in early trade on Thursday, tracking the strength of the American currency in the overseas market.

At the Indian interbank foreign exchange, the rupee opened at 77.61 against the American dollar, then lost ground to quote at 77.62, registering a fall of 12 paise from the last close.

On Wednesday, the rupee recovered from its record low to close 21 paise higher at 77.50 against the American currency.

The Indian rupee opened weaker against the dollar on Thursday, weighed down by a recovery in the US dollar and strengthening bond yields, said Sriram Iyer, Senior Research Analyst at Reliance Securities.

However, a sell-off in the crude oil prices on Thursday morning could cap the depreciation bias, Iyer noted.

Global oil benchmark Brent crude futures fell 1.57 per cent to $114.46 per barrel.

Moreover, Asian and emerging market peers were weaker on Thursday morning and could weigh on sentiments, Iyer said.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.05 per cent higher at 102.55.

On the Indian equity market front, the 30-share Sensex was trading 87.97 points or 0.16 per cent lower