Rupee declines 21 paise to settle at 83.39 versus US dollar

The rupee fell 21 paise to 83.39 (provisional) against the US dollar on Wednesday, continuing a downward trend in domestic markets and rising crude oil prices. However, foreign inflows into the bond markets ahead of India's government bonds' inclusion in the global bond index mitigated the downside. At the interbank foreign currency market, the local unit opened at 83.22 and finally settled for the day at 83.39 (provisional), down 21 paise from its previous level. However, new foreign inflows into FPIs and bond markets may support the currency at lower levels. Traders may draw cues from Richmond manufacturing index and statements from US Fed officials. Investors may remain cautious ahead of core PCE price index data later this week, Choudhary added.