The range for rupee can be between 73.95-74.30 in coming sessions, says Jateen Trivedi, Senior Research Analyst at LKP Securities.
Indian rupee ended marginally lower at 74.23 per dollar, amid selling saw in the domestic equity market.
It opened lower by 9 paise at 74.28 per dollar against previous close of 74.19 and traded in the range of 74.19-74.29.
The Sensex was down 185.93 points or 0.35% at 52,549.66, and the Nifty was down 66.20 points or 0.42% at 15,748.50.
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“Rupee again traded in a small range on as lack of movements in dollar index & crude prices-price kept range between 74.10-74.25 awaiting cues of crude price moves on back of OPEC+ meetings scheduled this week. The range for rupee can be between 73.95-74.30 in coming sessions,” said Jateen Trivedi, Senior Research Analyst at LKP Securities.
Gold prices eased on Tuesday, as a firmer dollar made bullion expensive for holders of other currencies while concerns that the U.S. Federal Reserve will tighten its monetary policy sooner than expected also dented the metal’s appeal.
Oil prices slipped for a second day on Tuesday on worries about slower fuel demand growth as outbreaks of the highly contagious COVID-19 variant Delta sparked new mobility restrictions around the world.
The dollar hovered below a two-month high versus major counterparts on Tuesday, with traders largely sidelined ahead of a closely watched U.S. jobs report, which could sway the timing of an exit from Federal Reserve stimulus.
Weakness in the rupee should continue as crude oil prices moved to 2018 highs. Huge writing positions were formed even in OTM Puts for the July series, which should provide support to the USDINR pair, said ICICI Direct.
The dollar-rupee June contract on the NSE was at Rs 74.43 in the last session. The open interest rose 26.3% for the July series, it added.