Mumbai: The rupee declined 5 paise to close at 74.88 (provisional) against the US dollar Thursday, weighed down by the strength of the American currency and muted domestic equities.
Forex traders said elevated crude oil prices also dragged down the local unit.
At the interbank foreign exchange, the rupee opened at 74.84 against the American dollar, and later witnessed an intra-day high of 74.75 and a low of 74.92 against the greenback.
The local unit finally ended the day at 74.88, down 5 paise from the previous close of 74.83.
The dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.22 per cent higher at 96.14.
On the domestic equity market front, the 30-share Sensex ended 770.31 points or 1.29 per cent lower at 58,788.02, while the broader NSE Nifty settled down 219.80 points or 1.24 per cent at 17,560.20.
Global oil benchmark Brent crude futures fell 0.92 per cent to USD 88.65 per barrel.
Foreign institutional investors remained net sellers in the capital market Wednesday, as they offloaded shares worth Rs 183.60 crore, as per stock exchange data.