Rupee 6 paise lower at 72.43 against USD, gold gains Rs 116

Mumbai, Mar 23 (PTI): The rupee gave up all its intra-day gains to settle 6 paise lower at 72.43 (provisional) against the US dollar on Tuesday, in line with weakness in other peers against the American currency.
However, easing crude oil prices and positive equities lent some support to the local unit and restricted the fall. At the interbank forex market, the rupee opened flat at 72.37 a dollar. During the session, it witnessed an intra-day high of 72.27 and a low of 72.45.
It finally settled 6 paise lower at 72.43 against the American currency.
In the previous session, the rupee had settled at 72.37 against the US dollar.
The dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.42 per cent to 92.12. “Indian rupee depreciated on a strong dollar. Further, traders remained cautious ahead of US Federal Reserve Chairman Powell and US Treasury Secretary Yellen testimony before the Committee on Financial Services, US House of Representatives.
“However, sharp fall was prevented on a rise in risk appetite in the domestic markets and softening of crude oil prices. Crude oil prices fell on worries that the slow pace in vaccination programme and the risk of new lockdowns in Europe may hamper economic growth. Rupee may trade in the range of 72.0 to 72.75 in the next couple of sessions,” Saif Mukadam, Research Analyst, Sharekhan by BNP Paribas, said. Gold prices gained Rs 116 to Rs 44,374 per 10 grams in the national capital on Tuesday reflecting overnight gains in global precious metal prices, according to HDFC Securities. In the previous trade, the precious metal had closed at Rs 44,258 per 10 grams.
Silver, however, declined by Rs 117 to Rs 65,299 per kg compared with Rs 65,416 per kg in the previous trade. HDFC Securities Senior Analyst (Commodities) Tapan Patel said, “Spot prices for 24 karat gold in Delhi were up by Rs 116 reflecting overnight gains in global gold prices despite of rupee appreciation.”
The rupee advanced by 3 paise to 72.34 against the dollar in opening trade on Tuesday. In the international market, both gold and silver were trading flat at USD 1,738 per ounce and USD 25.53 per ounce, respectively. Lack of fresh triggers has kept the yellow metal volumes muted this week, he added.