The rupee depreciated by 14 paise to 79.66 against the US dollar in opening trade on Thursday, tracking the strength of the American currency overseas.

At the interbank foreign exchange market, the rupee opened at 79.55 against the greenback, then fell further to 79.66, registering a decline of 14 paise over its last close.

Also Read| Sensex dips nearly 900 points, Nifty falls by 273 points in early trade

On Tuesday, the rupee had finished at a nearly two-week high of 79.52. The domestic forex market was closed on Wednesday on account of Ganesh Chaturthi.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.28% to 109.

Also Read| Indian government hikes windfall profit tax on diesel, ATF exports: What it means

The rupee opened weaker against the dollar as prospects of further aggressive policy tightening by the US Federal Reserve and the European Central Bank (ECB) weighed on Asian currencies and equities, said Sriram Iyer, Senior Research Analyst at Reliance Securities.

“Oil prices remained subdued this Thursday and could cap losses, but weak Asian and emerging market peers will cap gains,” Iyer said, adding the range for the rupee in this session is 79.30 to 79.75.

Also Read| Trending Stocks: Tata Motors, NTPC, SpiceJet and others in news today

The global oil benchmark Brent crude futures fell 2.84% to USD 96.49 per barrel.

On the domestic equity market front, the 30-share BSE Sensex was trading 683.03 points or 1.15% lower at 58,854.04, while the broader NSE Nifty was down 189.55 points or 1.07% to 17,569.75.

Also Read| Stocks to watch on Thursday, September 1, 2022

Foreign institutional investors (FIIs) have sold shares worth a net Rs 4,165.86 crore, whereas domestic institutional investors (DIIs) sold shares worth a net Rs 656.42 crore on August 30, as per provisional data available on the NSE.

There is not a single stock/security that has been placed under the F&O ban for September 1.