Rupee ends lower against dollar on Monday

The Indian rupee ended weaker against the US dollar on Monday, tracking a strong American currency against major rivals overseas. Sentiments were down beat even after Foreign Portfolio Investors (FPIs) have pumped Rs 37,316 crore in Indian equities in May so far, primarily due to strong macroeconomic fundamentals and reasonable valuation of stocks. Meanwhile, a private report said that the RBI may cut key benchmark policy rate in the fourth quarter of the current calendar year as a mix of factors will allow the central bank to shift focus and adopt a more accommodative policy stance sooner. On the global front, dollar nudged lower on Monday, pulling back from six-month peaks against the yen as a U.S. debt ceiling deal lifted risk appetite across world markets and dented the greenback's safe-haven appeal. U.S. President Joe Biden on Sunday finalised a budget agreement with House Speaker Kevin McCarthy to suspend the $31.4 trillion debt ceiling until Jan. 1, 2025, and said the deal was ready to move to Congress for a vote.

Finally, the rupee ended at 82.64 (Provisional), weaker by 4 paise from its previous close of 82.60 on Friday. The currency touched a high and low of 82.67 and 82.51 respectively.