NEW DELHI: The rupee slid nearly 5 paise to open at 71.17 in the early trade against the US dollar on Monday due to some buying in American currency by banks and exporters.
The local currency on Friday fell against the US dollar but continued to consolidate in broad range of 70.70 and 71.20 following lack of cues on the domestic as well as global front. Rupee slipped 9 paise to 71.12 per dollar on Friday.
On Friday, market participants remained cautious ahead of the important GDP number released from the US. Data showed the US economy in Q3 grew 2.1 per cent annualised rate as compared to 2 per cent growth in the previous quarter.
There were also upgrades to business spending on non-residential structures such as power infrastructure, which limited the drop in overall business investment.
“Today, USDINR pair is expected to quote in the range of 70.90 and 71.25,” Motilal Oswal Financial Services said.
On Friday, Pound fell after PM Boris Johnson won approval for his Brexit deal in parliament, the first step towards fulfilling his election pledge to deliver Britain’s departure from the European Union by January 31.
More than three years since Britain voted to exit the EU in a 2016 referendum, the deep uncertainty over Brexit has now been replaced by a firm deadline.
This week, volatility for major crosses is expected to remain low as market participants will remain on the sidelines following Christmas holidays.
Source: economictimes.indiatimes.com