Rupee falls 4 paise to 83.32 against U.S. dollar in early trade

Rupee falls 4 paise to 83.32/$ as domestic equities trend lower. Foreign fund outflows, RBI intervention, festive season & Brent crude prices also weigh. Forex reserves rise $4.672B to $590.783B.

The rupee depreciated 4 paise to 83.32 against the U.S. dollar in the morning session on Monday, tracking a negative trend in domestic equities.

Persistent foreign fund outflows also weighed on the local unit, forex traders said.

At the interbank foreign exchange, the rupee opened at 83.31 against the dollar. It touched a low of 83.32 in initial deals, registering a fall of 4 paise over its previous close.

On Friday, the rupee settled at 83.28 against the American currency.

"We expect the RBI to intervene to bring it within the 83.20-83.30 range. We otherwise expect a range-bound session with volumes being low on account of the festive season," India Forex And Asset Management Pvt Ltd (IFA Global) said in a research note.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading at 105.82, lower by 0.04 per cent.