The rupee opened the day lower by 16 paise at 60.35 against the dollar as worries over Iraq continue to bother global markets. The currency had closed at 60.19 against the dollar on Monday.
Crude prices continue to remain at elevated levels, which tends to have a sentimental impact on the rupee, since a significant dollar outflow is on account of imported crude.
Dealers say that the forex markets would also closely watch for hints from the Federal Open Market Committee Meet which ends on Wednesday for hints on possible rates hikes. Any tentative timeline on hike in interest rates in the US, might lead to the rupee dropping lower.
The rupee was one of the best performing Asian currencies this year, after falling to a historic low of 68.86 against the dollar in August last year. Check rupee rates here
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