USD/INR closed at Rs 68.68/$1 after opening at Rs 68.45/$1 Friday compared to Rs 68.44/$1 at previous close. Dollar/rupee ends and traded higher after opening flat on Friday tracking higher crude oil prices amid lower Asian currencies. All Asian currencies have lost against the US dollar. Crude is also up supporting dollar demand.
Oil prices remained elevated as US oil producers in the Gulf of Mexico cut more than half their output in the face of a tropical storm and as tensions continued in the Middle East. Brent crude oil futures for September delivery traded 0.60% higher at $66.92 a barrel on Friday morning.
The dollar index, which tracks the movement of the greenback against a basket of six major currencies, traded at 96.99 late compared with 96.90 at close of spot rupee market on Thursday. The greenback steadied against major counterparts after stronger-than-expected US inflation data tempered the prospect of an aggressive Federal Reserve interest rate cut later this month.
The signs of a pick-up in underlying inflation, along with separate data on weekly jobless claims showing the labour market remaining solid, curbed financial market expectations of a more aggressive 50 basis points cut at the Fed's July 30-31 meeting.
Sensex falls on fag-end selling, down 87 points; Nifty ends at 11,553.