Page 9 - Indian Rupee

Rupee gains 17 paise to 81.55 against US dollar ahead of GDP data

The rupee appreciated 17 paise to 81.55 against the US dollar in early trade on Wednesday on broad dollar weakness and a positive trend in domestic equities. At the interbank foreign exchange, the domestic unit opened at 81.63 against the dollar, then gained ground to touch 81.55, registering a rise of 17 paise over its previous close. On Tuesday, the rupee declined 4 paise to close at 81.72 against the US dollar. Forex traders said investors will focus on the US Federal Reserve Chairman Jerome Powell's speech and the release of key domestic macro economic data for further cues. "Market is looking forward to Fed Chair Powell's speech today. He is likely to signal a slowdown in the pace of rate hikes but push back against expectations of a pivot," IFA Global Research Academy said in a note. Domestic Q2 FY'23 GDP print, April-October fiscal deficit and October core sector data are scheduled to be released later in the day. Meanwhile, the dollar index, which gauges the greenback's .

Retail CBDC pilot starts Dec 1, to be tested in 4 banks, 4 cities initially

RBI says digital rupee for retail segment will be in the form of a digital token that represents legal tender, to be issued in same denominations as paper currency and coins

Most rated Cos have buffer to manage rupee depreciation, says Moody's

Most of the rated Indian non-financial companies have sufficient buffers to withstand the rupee depreciation against the US dollar, said Moody's Investors Service on Tuesday.

Rupee gains 8 paise to 81.60 against US dollar as foreign capital inflows

The rupee appreciated 8 paise to 81.60 against the US dollar in early trade on Tuesday as foreign capital inflows and a firm trend in the domestic equity market boosted investor sentiments. Besides, a weak American currency in the overseas market helped the local unit, forex dealers said. At the interbank foreign exchange, the domestic unit opened strong at 81.58 against the dollar, then inched lower to quote at 81.60, registering a rise of 8 paise over its previous close. In the previous session on Monday, the rupee rose 3 paise to end at 81.68 against the dollar. The dollar index, which gauges the greenback's strength against a basket of six currencies, slipped 0.38 per cent to 106.28. Brent crude futures, the global oil benchmark, surged 1.39 per cent to USD 84.35 per barrel. In the domestic equity market, the 30-share BSE Sensex was trading 164.06 points or 0.26 per cent higher at 62,668.86. Similarly, the broader NSE Nifty rose 59.10 points or 0.32 per cent to 18,621.85. Fo

Indian govt allows Lankans to hold $10,000 worth of rupee in cash

SL banks must open nostro accounts with Indian banks

Rupee slips 6 paise to 81.77 against US dollar in track with equities

The rupee depreciated 6 paise to 81.77 against the US dollar in early trade on Monday, tracking a lacklustre trend in domestic equity markets and a firm American currency overseas. However, lower crude prices in the international market and fresh foreign fund inflows restricted the rupee's fall, forex dealers said. At the interbank foreign exchange, the domestic unit opened weak at 81.81 against the dollar, then gained some ground to quote 81.77, registering a decline of 6 paise over its previous close. In the previous session on Friday, the rupee weakened by just one paisa to end at 81.71 against the dollar. The dollar index, which gauges the greenback's strength against a basket of six currencies, rose 0.41 per cent to 106.39. Brent crude futures, the global oil benchmark, declined 2.58 per cent to USD 81.47 per barrel. In the domestic equity market, the 30-share BSE Sensex was trading 27.97 points or 0.04 per cent lower at 62,265.67. Similarly, the broader NSE Nifty fell 12.45

Rupee will stabilise once US reduces speed of rate hikes: Douglas W Diamond

Douglas W Diamond, winner of this year's Nobel Memorial Prize in Economic Sciences, says it is difficult to predict exchange rates but the rupee should stabilise once the US "reduces the speed of its rate increases". In an email interview to PTI, the American economist also said that when the US raises exchange rates unexpectedly, the dollar tends to appreciate and things will normalise when interest rates are closer to each other in the US and India. Diamond, a Merton H Miller Distinguished Service Professor of Finance at the University of Chicago's Booth School of Business, shared the Nobel Prize with former US Federal Reserve Chair Ben Bernanke and US-based economist Philip H Dybvig for their research into the fallout from bank failures. According to the Nobel panel at the Royal Swedish Academy of Sciences in Stockholm, their research has shown "why avoiding bank collapses is vital". Asked about the continuous fall of the Indian rupee against the USD dollar, Diamond says, "It is

India seeks to shrink budget deficit by 50bps as global headwinds loom

What complicates matters for Sitharaman is that her food and energy bills are inflated by the war in Ukraine and given India runs a current-account deficit as well, the rupee has been weakening

RBI permits banks to open 12 special vostro accounts for trade in rupees

So far, not a single overseas trade transaction directly involving the rupee has taken place

Rupee close at 81.62 against US dollar as risk sentiments improve

The rupee settled for the day 8 paise higher at 81.62 (provisional) against the American currency on Friday on broad dollar weakness and improved risk sentiments. Forex traders said positive domestic equities and foreign fund inflows supported the local unit. At the interbank foreign exchange market, the local unit opened at 81.69 and touched an intra-day high of 81.44 and a low of 81.71 against the greenback. The local unit finally settled at 81.62, registering a rise of 8 paise over its previous close. On Thursday, the rupee appreciated by 23 paise to close at 81.70 against the US dollar. The Indian rupee appreciated on positive domestic equities and a weak US Dollar. Foreign fund inflows also supported Rupee, said Anuj Choudhary - Research Analyst at Sharekhan by BNP Paribas. The US dollar declined on extended losses as the Federal Open Market Committee (FOMC) minutes showed that a majority of Federal Reserve policymakers agree that it would likely soon be appropriate to slow

FM Sitharaman seeks to shrink budget deficit as global headwinds loom

A longstanding plan aims to shrink the shortfall to below 4.5% of GDP by 2025-26

Rupee advances 16 paise to 81.54 against US dollar in early trade

The rupee appreciated 16 paise to 81.54 against the US dollar in early trade on Friday on broad dollar weakness and in line with its Asian peers. At the interbank foreign exchange, the domestic unit opened at 81.69 against the dollar, then gained ground to touch 81.54, registering a rise of 16 paise over its previous close. On Thursday, the rupee appreciated by 23 paise to close at 81.70 against the US dollar. Forex traders said the American currency has retreated from its elevated levels post Federal Open Market Committee (FOMC) minutes. The dollar index, which gauges the greenback's strength against a basket of six currencies, fell 0.23 per cent to 105.82. Moreover, steady crude oil price is also aiding investor sentiments. "Brent is steady around USD 85 per barrel after Thursday's drop which came on reports that the price caps proposed for Russian crude were too high and above the current levels," IFA Global Research Academy said in a note. Brent crude futures, the global oi

Rupee gains 26 paise to 81.67 against dollar as US currency retreats

The rupee appreciated 26 paise to 81.67 against the US dollar in early trade on Thursday as the American currency retreated from its elevated levels. At the interbank foreign exchange, the domestic unit opened at 81.72 against the dollar, then gained ground to touch 81.67, registering a rise of 26 paise over its previous close. The rupee has strengthened in offshore trading on broad-based dollar weakness. It is likely to trade in a range of 81.55-81.85 with sideways price action, IFA Global Research Academy said in a research note. The dollar index, which gauges the greenback's strength against a basket of six currencies, fell 0.41 per cent to 105.63, post the weak US data and dovish Fed minutes. "Minutes of the latest Fed meeting indicated that most Fed members were in support of slowing the pace of rate hikes but 'various' Fed members saw rates peaking at higher levels," IFA Global Research Academy said. Brent crude futures, the global oil benchmark, declined 0.21 per cent to US

Falling rupee, rising costs, job insecurity dampen study-abroad sentiment

Mass layoffs by tech biggies add to concern, but demand from non-metros robust

Rupee falls 18 paise at 81.85 against dollar amid recovery in crude prices

The rupee depreciated 18 paise to close at 81.85 (provisional) against the US dollar on Wednesday on dollar demand from importers and recovery in crude oil prices. Forex traders said sustained foreign fund outflows and concerns over rising COVID-19 cases in China also weighed on investor sentiments. At the interbank foreign exchange market, the local unit opened at 81.81 and later witnessed an intraday high of 81.74 and a low of 81.87 during the session. The domestic unit finally settled at 81.85 against the American currency, registering a fall of 18 paise over its last close of 81.67. "Indian Rupee depreciated on Dollar demand from importers and recovery in crude oil prices. FII outflows also weighed on Rupee," said Anuj Choudhary - Research Analyst at Sharekhan by BNP Paribas. However, the soft US Dollar and positive domestic markets cushioned the downside. The US Dollar declined on Tuesday on hopes that the Fed may cool down its pace of rate hikes. The dollar index, which gau

Rupee falls 14 paise to 81.81 against US dollar amid foreign fund outflows

The rupee depreciated 14 paise to 81.81 against the US dollar in early trade on Wednesday, tracking a strong American currency and sustained foreign fund outflows. At the interbank foreign exchange, the domestic unit opened at 81.81 against the dollar, registering a loss of 14 paise over its previous close. On Tuesday, the rupee appreciated by 12 paise to close at 81.67 against the dollar. Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, fell 0.06 per cent to 107.16. Brent crude futures, the global oil benchmark, declined 0.08 per cent to USD 88.29 per barrel. According to experts, the rupee is expected to see sideways action amid cautiousness in the markets, as fears of a return to stricter COVID restrictions in China weighed on Asian currencies. "COVID cases in China rose to 28,183 on Tuesday, just under the record high of 28,973 reached in April. Major cities such as Shanghai and Beijing are placing restrictions on movement

Gold gains Rs 30; silver climbs Rs 856 amid appreciation in rupee

Gold price in the national capital rose Rs 30 to Rs 52,731 per 10 grams on Tuesday amid appreciation in rupee, according to HDFC Securities. In the previous trade, the yellow metal had touched Rs 52,701 per 10 grams. Silver also climbed Rs 856 to Rs 61,518 per kilogram. The rupee appreciated 14 paise to 81.65 against the US dollar in early trade on Tuesday as the American currency retreated from its elevated levels. In the international market, gold was up at USD 1,741.95 per ounce while silver was trading higher at USD 21.05 per ounce. "COMEX gold is trading around USD 1,740 as the dollar edged lower and traders await the Federal Reserve's minutes due tomorrow for hints on the central bank's monetary policy tightening path," Dilip Parmar, Research Analyst at HDFC Securities, said.

Rupee advances 14 paise to 81.65 against US dollar in early trade

The rupee appreciated 14 paise to 81.65 against the US dollar in early trade on Tuesday as the American currency retreated from its elevated levels. Forex traders said foreign fund outflows and a muted trend in domestic equities weighed on the local unit and restricted the appreciation bias. At the interbank foreign exchange, the domestic unit opened at 81.72 against the dollar, then gained further ground to touch 81.65, registering a rise of 14 paise over its previous close. On Monday, the rupee depreciated by 5 paise to close at 81.79 against the US dollar. Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, fell 0.24 per cent to 107.57. Experts believe the Indian rupee is expected to trade in a range-bound manner amid tracking strength of the American currency and cautiousness in the markets, as fears of a return to stricter COVID restriction measures in China weighed on Asian currencies. Brent crude futures, the global oil ..

Forex below $500 bn would force RBI to hike aggressively: Morgan Stanley

RBI has used close to $100 bn of FX reserves since late 2021 to defend the currency. Such action makes sense as it had been accumulating FX reserves before that and it wants INR stability

Rupee depreciates 12 paise to 81.86 against US dollar in early trade

The rupee depreciated 12 paise to 81.86 against the US dollar in early trade on Monday, tracking the strength of the American currency in the overseas market and a muted trend in domestic equities. At the interbank foreign exchange, the domestic unit opened at 81.84 against the dollar, then lost ground to quote at 81.86, registering a loss of 12 paise over its previous close. On Friday, the rupee depreciated by 10 paise to close at 81.74 against the US currency. Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, advanced 0.25 per cent to 107.19. The rupee started this Monday morning on a weaker note as the dollar continued to strengthen amid hawkish Fed rhetoric, Sriram Iyer, Senior Research Analyst at Reliance Securities, said, adding that the key trigger for the markets will be the US central bank's latest meeting. Weaker crude oil prices could cap losses, but Asian and emerging market peers were weak this Monday morning and wi