Rupee Opens Lower Against Dollar Amid Ongoing Forex Swaps Uncertainty

The Indian rupee opened lower against the US dollar on August 17, after the Reserve Bank of India (RBI) unexpectedly shortened by a month the deadline for its discounted forex swap facility for deposits from non-resident Indians.

According to Finrex, despite consistent oil buying and importer covering, the rupee is expected to open weaker today. The RBI's move has set the stage for a potentially weaker rupee, as Brent oil prices are at $89.05 per barrel, while the dollar index remains at 99.53.

Asian currencies are trading mostly higher against the US dollar in early trade. The Indonesian rupiah leads gains, rising 0.28%, followed by the Taiwan dollar (0.27%), South Korean won (0.36%) and Japanese yen (0.18%).