The Indian rupee opened 2 paise lower at 94.68 against the US dollar on Wednesday, 1 July, tracking weakness in Asian currencies as higher US Treasury yields weighed on investor sentiment and curbed risk appetite.
The local currency has remained under pressure over the past two sessions, hurt by declines in regional peers, increased importer hedging activity and fading speculative interest.
For the past two-and-a-half weeks, the rupee has largely traded within the 94.10–94.90 range. Traders told Reuters that the downside has been limited by likely intervention from the Reserve Bank of India (RBI), with the central bank reportedly selling dollars whenever the currency approaches the 95-per-dollar level, making it a key support threshold for the rupee.
