Rupee Closes 12 Paise Lower At 81.36 Per US Dollar

The Indian rupee eased on Thursday, tracking its Asian emerging market counterparts which declined after a batch of weak U. data stoked worries about a slowdown in the world's top economy..The partially convertible rupee finished at 81.36 per US dollar, compared to its Wednesday close of 81.24..The currency had gained 0.6% in the previous session, and market participants broadly held a positive view of its outlook.."The rupee is expected to appreciate as long as USD/INR stays under the 82 mark," said analysts at ICICI Securities in a note, citing 81.20 as a crucial support zone for the currency pair.."A series of weak economic data from the U.S. has fuelled expectations that the Fed may reduce the magnitude of rate hikes or even pause it.".A lower reading in the housing data due later in the day could restrict the recovery in the dollar, they added..In EM Asia, the Thai baht and the Philippine peso led losses on an overnight rise in the dollar index. Regional equities also fell, with Indian shares down 0.3%..Data showed U.S. retail sales dropped by the most in a year in December, while manufacturing output recorded its biggest drop in nearly two years..U.S. producer prices also fell more than expected in December as costs of energy products and food declined, offering more evidence that inflation was receding..As markets started to price in a slightly lower Fed terminal rate, benchmark Treasury yields tumbled to a four-month low..For the monetary policy meeting concluding on Feb. 1, the Fed is widely expected to raise rates by 25 basis points..(Reporting by Anushka Trivedi; Editing by Janane Venkatraman).(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

Rupee Closes 12 Paise Lower At 81.36 Per US Dollar

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