Rupee closes below 74 against the dollar for the first time, share indices make gains
The Sensex and Nifty 50 snapped a three-day losing streak to gain 0.3% each.
The rupee closed below the 74-mark against the dollar for the first time on Monday, even as the benchmark share indices snapped a three-day losing streak to gain 0.3% each. The rupee ended the day at 74.06 against the dollar, down 30 paise since Friday’s close.
The BSE Sensex gained 97.39 points to close at 34,474.38 on Monday after losing 300 points in early trade. The National Stock Exchange Nifty 50 also recovered from its decline in the morning to end 31.60 points up at 10,348.05.
Both indices swung between gains and losses during the day, as stocks of oil marketing companies remained strong and metal and some non-banking financial stocks dragged the investor sentiment, Reuters reported.
The rupee has declined since the Reserve Bank of India decided on Friday to keep key interest rates constant. Market participants had hoped an increase in interest rates would lift the rupee.
Yes Bank, Reliance, Hero Motocorp, Kotak Mahindra and Asian Paints were the top gainers on the Sensex. The biggest losers were Vedanta, HDFC, Wipro, Axis Bank and Tata Motors.
On the Nifty, the biggest gainer was Hindustan Petroleum Corporation Ltd, followed by Yes Bank, Indian Oil Corporation, Reliance Industries and Hero MotoCorp. The stocks that declined the most were Vedanta, Hindalco Industries, Tech Mahindra, Bajaj Finance and Wipro.
The rupee declined by 18 paise on Friday to trade at 73.94 against the United States dollar at 12.44 pm.