Rupee slips 9 paise against US dollar in early trade

Mumbai: The rupee fell 9 paise to 69.20 against the US dollar in opening trade on Thursday on increased demand for the greenback from importers and banks.

Forex dealers said, strengthening of the American currency in the overseas market weighed on the domestic currency. However, sustained foreign fund inflows supported the rupee and restricted the fall.

The rupee opened weak at 69.15 at the interbank forex market, then fell further to 69.20 down 9 paise against its last close. The local currency, however, pared the initial loss and was trading at 69.15 at 0940 hrs. The rupee on Wednesday had strengthened by 19 paise to 69.11 against the US dollar.

Foreign institutional investors (FIIs) remained net buyers in the capital markets, putting in Rs 1,429.92 crore on Wednesday, as per provisional data.

Meanwhile, brent crude futures, the global oil benchmark, fell 0.49 per cent to trade at USD 71.38 per barrel.

Indian bourses opened on a cautious note on Thursday, with benchmark indices Sensex trading 20.31 points up at 38,605.66 and Nifty was quoted at 11,595.95 points, up 11.65 points.