Rupee 5 paise lower against USD

The rupee declined 5 paise to settle at 83.73 against the US currency on Thursday amid a rise in demand for the dollar and an increase in crude oil prices. The rupee opened higher at 83.67 due to weakness in the US dollar in overseas markets after the US Federal Reserve hinted at a rate cut in the near future.

The unit however failed to hold onto gains and fell to the day’s low of 83.75 later. The domestic unit settled at 83.73, down 5 paise from the previous close. At the interbank foreign exchange market, the domestic currency had closed at 83.68 against the US dollar on Wednesday. Forex traders said gains from a weak dollar were offset by month-end dollar demand and rising crude prices.