Rupee opens 21 paise down at 87.17 against dollar as Asian currencies slip

Indian rupee

The rupee opened 21 paise down on August 20 amid decline in Asian currencies, a day after it hit a three-week high.

The rupee opened at 87.17 against the US dollar after ending the previous session at 86.96, its biggest daily gain in a month as it regained the 86 level.

Asian currencies weaken in the morning session ahead of the three-day Jackson Hole symposium, which starts August 21 and will offer clues to Fed Reserve policy path. Regional equities, too, traded lower following tech-led selloff on Wall Street.

Traders are seemingly squaring their books ahead of US Federal Reserve chairman Jerome Powell’s speech on August 22.

According to Bloomberg data, Asian currencies were down 0.05-0.52 percent in morning trade. The South Korean won was down 0.52 percent, Taiwanese dollar 0.38 percent, Indonesian rupiah 0.30 percent and the Thai baht slipped 0.21 percent.

The dollar index was up 98.373 after closing at 98.265 in the previous session.

"The dollar index gained for a third session on Wednesday as Traders awaited for Fed Reserves chief's clues on the path of monetary policy at the Jackson Holes Symposium this weekend," said Anil Kumar Bhansali, head of treasury and executive director, Finrex Treasury Advisors LLP.