Rupee slips 12 paise to close at 86.82 against dollar
The rupee slipped by 12 paise on Tuesday, closing at 86.82 against the US dollar—mainly because the dollar got a boost and crude oil prices kept rising.
The currency hit an intra-day low of 86.92 before settling just below Monday's close.
Weaker rupee makes imports more expensive
A weaker rupee makes imports—especially oil—more expensive, which can push up prices for everyone.
Investors are feeling cautious too, with nearly ₹37,000 crore pulled out so far till date.
The move comes as everyone waits to see what the US Fed and Bank of Japan decide on interest rates this week.
US dollar climbing on global trends
The US dollar is climbing thanks to hopes for a new US-EU trade deal and regular month-end demand from Indian companies needing dollars to pay for imports.
Even though domestic markets showed some gains today (Sensex up 0.55%, Nifty up 0.57%), global money trends are keeping pressure on the rupee right now.
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