Forex traders said muted domestic equities, sustained foreign fund outflows and elevated crude oil prices weighed on the local unit
Forex traders said muted domestic equities, sustained foreign fund outflows and elevated crude oil prices weighed on the local unit.
The consumer price index rose 0.6% from December, the Labor Department said, while in the 12 months through January, CPI jumped 7.5%, the biggest year-on-year gain since February 1982
Currency market moves were small on Thursday as investors waited for key data on U.S. inflation to give clues on the Federal Reserve's policy tightening trajectory
Spot gold XAU= was up 0.1% at $1,827.20 per ounce as of 0957 GMT, trading in a narrow $5 range. U.S. gold futures GCv1 were steady at $1,828.40
The Australian dollar got a bit of a lift as continued gains in global stocks boosted the mood for risk taking
The dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.11 per cent lower at 95.53.
The euro continued to retreat from near a three-month high to Japan's currency
However, the surge in the rupee was restricted amid elevated crude oil prices and muted domestic equities.
The new rate expectations for both the Fed and ECB pit the dollar and euro against each other as to which will gain an upper hand
But the dollar was still down 1.7% on the week, on pace for its largest weekly percentage decline since November 2020.
(Reuters) - Gold prices eased ahead of key central bank meetings on Thursday as the U.S. dollar and Treasury yields strengthened a day after dismal private payrolls data sent bullion prices to one-week highs.
The rupee declined 5 paise to close at 74.88 (provisional) against the US dollar on Thursday, weighed down by the strength of the American currency and muted domestic equities.
The dollar index, which gauges the greenback's strength against a basket of six currencies, rose by 0.10 per cent to 96.03.
The risk-sensitive Australian and New Zealand dollars fell slightly in morning trade
The rupee pared its initial gains to settle on a flat note at 74.83 (provisional) against US dollar on Wednesday, even as the domestic equities closed on a positive note.
The dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.13 per cent lower at 96.26.
Although gold is considered a hedge against inflation, rate hikes would raise the opportunity cost of holding non-yielding bullion.
The dollar fell for a second straight session on Tuesday, after hitting a 19-month peak at the end of last week
After falling nearly 5% in January, world equities started February slightly firmer and currency markets have also changed course