Rupee Falls 17 Paise to 95.59 Against US Dollar in Early Trade

Rupee Falls 17 Paise To 95.59 Against US Dollar

Cautious investor sentiment and concerns over end of RBI's concessional swap facility weigh on currency

Rupee falls 17 paise to 95.59 against US dollar in early trade

In early trading, the rupee slipped by 17 paise against the US dollar as investor sentiment turned cautious following the Reserve Bank of India's announcement on its swap facility adjustment. The end of the FCNR (B) deposit facility on August 31 is causing concern among traders, even though prior forex inflows had reached nearly USD 50 billion, suggesting potential short-term support for the rupee.

Rupee falls 17 paise to 95.59 against U.S. dollar in early trade

At the interbank foreign exchange, the rupee opened at 95.50, then fell to 95.59, down 17 paise from its previous close.

Rupee opens 5 paise lower at 95.48 against US dollar

The rupee opened lower at 95.48 against the US dollar, pressured by the RBI's early deadline for forex swap facilities. Despite weaker dollar expectations, geopolitical risks and domestic factors could add volatility, with experts warning of potential weakness ahead.

Rupee set to weaken after central bank curtails dollar inflow window

The RBI has brought forward by a month the cut-off for its ​discounted forex swap facility, ‌following more than $50 billion in inflows from NRI deposits

Higher costs, rupee pressure forced premature closure of FCNR-B window, say experts

The RBI said on August 14 that the swap facility for FCNR-B deposits will be available for new deposits up to August 31 due to a strong response.The scheme was to earlier close on September 30