Rupee trades higher at 72.96 per dollar


Rupee could retrace towards 73.00 levels, says ICICI Direct.

Indian rupee is trading higher at 72.96 per dollar, amid buying seen in the domestic equity market.

It opened higher at 72.97 per dollar against previous close of 73.10.

Sensex was up 664.43 points or 1.34% at 50,229.29, and the Nifty was up 190 points or 1.27% at 15,096.

The positive sentiment in the domestic currency is influenced by a rally in global markets and the dollar’s weakness against the major currencies, which should limit downsides. It could retrace towards 73.00 levels, said ICICI Direct.

The dollar-rupee May contract on the NSE was at Rs 73.17 in the last session. The open interest fell almost 2.8% for the May series, it added.

The dollar was pinned near milestone lows on Friday, and headed for a weekly loss, as traders’ initial concerns at taper talk in Federal Reserve minutes ebbed – with actual tapering seeming distant – while pandemic recovery boosted other currencies.

Gold edged lower on Friday, as optimism around a swift economic recovery lifted appeal for riskier assets, although a weaker dollar and growing inflationary pressure limited losses and kept bullion on track for a third straight weekly rise.

Oil prices edged up on Friday, taking a breather after three days of losses as investors braced for the return of Iranian crude supplies after officials said Iran and world powers made progress on talks to revive a 2015 nuclear deal.

Moneycontrol News