Rupee marginally lower even as current account deficit slumps

Updated: Tuesday, May 27, 2014, 9:09 [IST]

INR

83.581

The rupee has opened marginally weak and was trading at Rs 58.83 against the dollar as against its close of 58.70 on Monday. A marginal fall in the rupee was despite the current account deficit coming in at just 0.2 per cent of GDP for the quarter ending March 2014.

The current account deficit fell for the third straight quarter on the back of fall in gold imports. Last year a record current account deficit played havoc with the rupee and the currency fell to a record low of 68.86 against the dollar.

Read more on current account deficit and its relation ship to the rupee here

Dealers say that the rupee will continue to trade in a range and the next big trigger for the currency could be the Union Budget due in the month of May.

There are no immediate global triggers that could affect the rupee in the short term. Check currency rates here

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