USD/INR closed at 68.93 against its opening at 69.06. Dollar/rupee ends little changed as likely FPI inflow into local debt offset FII outflow from local stocks. market was seen on selling on monday by foreign banks amid likely overseas fund inflows into local debt ahead of the Reserve Bank of India's FX swap auction due tomorrow. Foreign banks were on the sell side along with exporters. FPIs are putting money into local debt market ahead of the FX swap auction.

Month-end dollar demand by oil importers is supporting the pair. Also, fear of recession hitting the US economy increased safe haven bids for dollar along with FII outflows from local equities.  Local stocks opened lower as global economic growth concerns dampened investor sentiment that sent financial markets across the globe on a free-fall.The global bond yields plunged as inversion of part of the US Treasury yield curve indicates a potential recession in the world's largest economy.

Crude oil prices headed lower as concerns of an intense global economic slowdown outweighed supply disruptions from OPEC's production cutbacks and US sanctions on Iran and Venezuela. Meanwhile, the greenback remained subdued against it major pairs after safe haven bids increased on concerns over recession hitting the US economy. Concerns over the health of the world economy along with the US heightened last week after cautious remarks by the US Federal Reserve pushed the 10-year treasury yields to the lowest since early 2018. 

Sensex closed down 356 points on US recession fears, Nifty settles at 11,354.