Rupee sheds 9 paise against dollar in early trade ahead of RBI board meet today; rising crude prices weighs on currency

Mumbai: The rupee depreciated by 9 paise to 72.02 against the US dollar in early trade Monday at the interbank foreign exchange, halting its four-day winning streak, ahead of Reserve Bank of India (RBI)’s board meet. Fresh demand for the American currency from importers amid rise in crude prices weighed on the domestic unit, dealers said. However, weakness in the US dollar against some currencies in global market and a higher opening of the domestic equity markets limited the rupee fall ahead of Reserve Bank of India’s board meet, dealers said. [caption id=“attachment_5305381” align=“alignleft” width=“380”]  Representational image. Reuters[/caption] Finance Ministry nominees and some independent directors are expected to take on Governor Urjit Patel and his team later in the day over issues ranging from micro, small and medium enterprises (MSME) credit to the central bank’s reserves, though both sides are in favour of reaching a common ground. Meanwhile, the international benchmark, Brent crude was trading higher by 0.72 percent to $67.40 per barrel. The rupee on Friday strengthened by 4 paise to close at a fresh two-month high 71.93 against the US currency, despite a rebound in oil prices and a stronger dollar. Foreign institutional investors (FIIs) bought shares worth Rs 844.82 crore on Friday, as per provisional data. The benchmark BSE Sensex was trading 159.66 points, or 0.45 percent, higher at 35,616.82 in opening trade.