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Below is Quote on Rupee By Ms. Sugandha Sachdeva, Vice President - Commodity and Currency Research , Religare Broking Ltd

After a sharp appreciation of around 1.4 percent witnessed during the month, the Indian rupee has given up all of the gains and is treading into the negative trajectory as the month draws to a close. It's the broad-based strength witnessed in the dollar index and the steep sell-off seen in domestic equities that has dragged down the local unit to three-week lows. Greenback has been on a strong run scaling to its highest levels for the year as markets are anticipating that the US Fed will accelerate asset tapering and hike interest rates around mid-2022, with inflation running at levels not seen in decades. Besides, concerns about the new highly-mutated coronavirus variant and lockdown fears in Europe are weighing on the sentiments. For the near term, we envisage the domestic currency to hover in the band of 74.20-75.60, where the recent slide in crude oil prices from multi-year highs amid demand concerns is still providing some cushion to the Indian rupee.

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