Rupee records gain against US dollar

Business Recorder reported that the rupee edged higher against the US dollar on Thursday, closing at 277.65 after a Rs0.01 improvement. The local unit had settled at 277.66 the previous day, so the latest move was marginal but consistent with the rupee's recent gains.

Gains for the greenback lost momentum on Thursday, as softer US inflation numbers released overnight prompted traders to trim wagers on a near-term Federal Reserve rate increase. The dollar index was flat at 100 but heading towards a weekly gain of 0.4%, while the greenback barely moved against the yen in Asian trade. Oil also slipped, with Brent crude falling to $86.78 a barrel, a 2.47% decline of $2.20, and West Texas Intermediate dropping 2.81% to $80.93.

Open-market rates moved differently: the rupee lost 1 paisa on the buying side and held steady on the selling side, closing at 278.59 and 279.62 against the dollar. Against the euro, it gained 30 paise for buying and 27 paise for selling, ending at 320.28 and 323.42.