Page 2 - Currency Market

Currency movements not guiding factors for monetary policy: Shaktikanta Das

Reserve Bank of India Governor Shaktikanta Das on Friday said that currency movements are not the guiding factors for monetary policy decisions. He said currency management is the domain of RBI and that it will deploy all the appropriate measures on the same. The Monetary Policy Committee, which decided to go for a rate hike of 0.50 per cent earlier in the day, takes into account domestic factors on inflation and growth while formulating its rates strategy, Das told reporters during the customary post-policy press conference. He said the primacy is given to inflation while the aspect of growth is also looked into. On liquidity, Das said there should not be any worries about tightness and that the system wide funds availability was more than Rs 5 lakh crore. Deputy Governor T Rabi Sankar said rupee trade proposals have been received from four to five countries and many banks. He did not provide further details.

Analysts see Rupee hitting 85 levels; Fibonacci charts, too, show weakness

As per the weekly Fibonacci chart, the Rupee can depreciate to 82 - 82.20 - 82.40 during the week. However, in case the currency sustains below 81.55-level a corrective move to 80.50 seems possible.

India operations to offer post-trade products to global clients: OSTTRA

London-based company says Indian team supports its international clients, solves operational problems

Rupee falls to new low as dollar's rise continues; importers buy greenback

The rupee depreciated 43 paise to an all-time low of 81.52 against the US dollar in early trade on Monday as the strengthening of the American currency and risk-averse sentiment among investors weighed on the local unit. Moreover, escalation of geopolitical risks due to conflict in Ukraine, a negative trend in domestic equities and significant foreign fund outflows sapped the investor appetite, forex traders said. At the interbank foreign exchange, the rupee opened at 81.47 against the greenback, then fell to 81.52, registering a fall of 43 paise over its previous closing. On Friday, the rupee slumped 30 paise to close at a fresh lifetime low of 81.09 against the US dollar. The Indian rupee is likely to remain weaker as investors expect that the US Fed will continue to hike interest rates aggressively to cool inflation, Sriram Iyer, Senior Research Analyst at Reliance Securities, said. "Focus now shifts to RBI's meeting this week, with its decision due on Friday. We expect RBI to

Every nation for itself as dollar batters global currencies after rate hike

While the problems in currency markets right now are in many ways reminiscent of the 1980s, the solutions are unlikely to be

UCO Bank becomes first lender to get RBI's approval for rupee trade

Many banks in India are planning to open such special vostro accounts for settling trade transactions with other nations

Strong dollar vs foreign inflows: Rupee in fine balance ahead of Fed meet

Analysts expect rupee to trade in the range of 78-80 per dollar, for now

Currency internationalisation: India pushes for rupee trade with Cuba

In July, the RBI had unveiled a mechanism to settle international transactions in rupee to promote the growth of global trade, with emphasis on exports from India

Banks seek clarity on 'grey areas' from RBI on Rupee Vostro accounts

India has stepped up its purchase of cheaper Russian crude despite international opposition and sanctions. New Delhi is looking to settle this trade in rupees to continue with its purchases

Sheikh Hasina likely to seek India's economic support during 4-day visit

Bangladesh's growth story runs into global economic instability, expensive fuel and slowdown in textile orders

Searing inflation in the UK pushes the Pound to a near 37-year low

The currency is trading around $1.18, less than 4 US cents away from its weakest level since 1985 against the dollar, underscoring the challenges facing the British economy

At 13.8% gains, India best-performing stock market since June lows

The benchmark Nifty50 Index has gained the most among major global markets, soaring 13.8 per cent since June 17, when it had dropped to its lowest levels in 13 months

Rupee strength unsustainable; bet on chemicals, OMCs in near-term: Analysts

Whether the recent strength in the currency will sustain or not depends on the monetary policy trajectory of the Reserve Bank of India, foreign flows, and crude oil prices, experts said.

Rupee strengthened against all major currencies other than dollar: CEA

He added that unlike earlier crises, the depreciation of the rupee against the US dollar was lower than other major global currencies such as the Swiss Franc, the Euro, the British pound and the Yen

Asia's central banks forced to play catch-up in global rush to raise rates

Having bucked a global dash to tighten monetary policy for a year, Asian central banks find themselves scrambling to catch up in order to tackle rising inflation and defend weakening currencies

Reserve Bank remains net buyer of US currency in May; buys $2 billion

The Reserve Bank of India (RBI) remained net buyer of the US currency in May, after it purchased USD 2.001 billion on net basis from the spot market, the RBI data showed.

Strength and opportunity: What rupee going 'international' will mean

The rupee is partially convertible. It attained current account convertibility in the early- through mid-1990s. This means the rupee can be converted to any foreign currency at existing market rates

Asian countries in talks for settling trade in domestic currencies

Countries to accept trading partners' currency; move aimed at reducing dollar dependence

Rupee falls to a fresh low, just 40 paise away from 80 per dollar

The rupee settled at 79.60 per US dollar, as against 79.44 per US dollar at its previous close

Rupee breaches 79, sheds 0.9% this week as FII outflows, CAD worries grow

The rupee losses on Friday were, however, limited by dollar sales by exporters, who felt that the domestic unit may not fall much further, given the sharp depreciation seen this week