Rupee slips 13 paise on dollar demand, inflation concerns

MUMBAI: Retail inflation jumped to a four-month high of 4.87 per cent in May on costlier food items such as fruits, vegetables and cereals coupled with high fuel rates.

However, industrial production expanded by 4.9 per cent in April on improved performance by manufacturing and mining sectors as also a robust offtake of capital goods.

Forex dealers said dollar strengthening against other currencies overseas as investors await a key Federal Reserve decision later in the day also weighed on the rupee sentiment.

However, a higher opening in the domestic stock market limited the rupee's losses, they said.

Foreign institutional investors (FIIs) sold shares worth ₹ 1,168.88 crore yesterday, as per the provisional data.

Yesterday, the rupee had closed 7 paise down at 67.49 against the US currency.

Meanwhile, the benchmark BSE Sensex rose 184.89 points, or 0.51 per cent, to 35,877.41 in early trade.

(This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.)

 

Fast, accurate and updated real time local news is available on your smartphone and tablet.
STAY CONNECTED EVERYWHERE YOU GO!

Author

PTI