On July 12, the Rupee settled at 83.51 against the U.S. dollar.
| Photo Credit: The Hindu

Rupee depreciated 11 paise and settled for the day at an all-time low of 83.62 (provisional) against the U.S. dollar on July 15, weighed down by the overall strength of the American currency in the overseas market.

Forex traders said a positive trend in domestic equities, wherein benchmark indices touched all-time high levels and significant foreign fund inflows supported the Rupee at lower levels.

At the interbank foreign exchange market, the local unit opened at 83.53, but lost ground and finally settled at an all-time low of 83.62 (provisional) against the dollar, 11 paise lower than its previous close. On July 12, the Rupee settled at 83.51 against the U.S. dollar.

Anuj Choudhary, Research Analyst at Sharekhan by BNP Paribas, said the Rupee declined on positive U.S. dollar and rising domestic inflation.

“U.S. dollar rose on safe haven demand amid political violence in the U.S.,” he said, adding that rising odds of a rate cut by Fed in September may limit a sharp upside in the greenback.

“Traders may take cues from Empire State manufacturing index data from the U.S.. USD-INR spot price is expected to trade in a range of ₹83.30 to ₹83.80,” Mr. Choudhary said.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading marginally lower by 0.02% at 104.07. Brent crude futures, the global oil benchmark, were trading 0.09% higher at $85.11 per barrel.

In the domestic equity market, the benchmark indices scaled all-time high levels. The 30-share BSE Sensex ended the day 145.52 points, or 0.18%, higher at an all-time high of 80,664.86 points. The broader NSE Nifty settled 84.55 points, or 0.35%, higher at a record 24,586.70 points.

According to the official data released on July 15, wholesale inflation in the country rose for the fourth consecutive month in June at 3.36% on account of rise in prices of food articles, especially vegetables and manufactured items.

The government data released on Friday showed retail inflation increased to a four-month high of 5.08% in June as food items, including vegetables became dearer.

Foreign Institutional Investors (FIIs) were net buyers in the capital markets on Friday, as they purchased shares worth ₹4,021.60 crore, according to exchange data.

The rupee depreciated 4 paise to settle at 83.52 (provisional) against the U.S. dollar on Wednesday, weighed down by elevated crude oil prices.

Forex traders said the Indian rupee depreciated on strength in crude oil prices, which touched a two-week high on Tuesday. However, a firm tone in domestic markets and favourable macroeconomic data cushioned the downside.

At the interbank foreign exchange market, the local unit opened at 83.51 and hit the intraday high of 83.49 and a low of 83.56 against the American currency during the session.

It finally settled at 83.52 (provisional) against the dollar, 4 paise lower than its previous close.

On Tuesday, the rupee depreciated 4 paise to settle at 83.48 against the U.S. dollar.

“We expect the rupee to trade with a slight positive bias on softening of the U.S. dollar and rise in global risk sentiments. Strength in the domestic markets may also support sentiments,” said Anuj Choudhary – Research Analyst at Sharekhan by BNP Paribas “However, elevated crude oil price and FII outflows may cap sharp upside. Traders may take cues from ADP non-farm employment, weekly unemployment claims, ISM services PMI, Challenger job cuts, trade balance and factory orders data from the U.S. Investors may remain cautious ahead of FOMC meeting minutes,” Mr. Choudhary said.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.10% lower at 105.61.

Brent crude futures, the global oil benchmark, were trading 0.09% higher at $86.32 per barrel.

In the domestic equity market, Sensex hit the historic 80,000-mark and Nifty scaled a fresh lifetime high. The 30-share BSE Sensex finally ended the day 545.35 points, or 0.69%, up at 79,986.80 points. The broader NSE Nifty settled 162.65 points, or 0.67%, higher at 24,286.50 points.

Foreign Institutional Investors (FIIs) were net sellers in the capital markets on Tuesday, as they offloaded shares worth ₹2,000.12 crore, according to exchange data.

On the domestic macroeconomic front, India’s services sector growth quickened in June from May’s five-month low.

The seasonally adjusted HSBC India Services Business Activity Index rose from 60.2 in May to 60.5 in June, pointing to a sharp expansion in output.

The rupee depreciated 6 paise to settle at 83.50 (provisional) against the U.S. dollar on Tuesday, weighed down by a strong greenback in the overseas market and elevated global crude oil prices.

Besides, a muted trend in domestic equities and foreign fund outflows dented investor sentiments, forex traders said.

At the interbank foreign exchange market, the local unit opened at 83.51 and hit the intraday high of 83.47 and a low of 83.56 against the American currency during the session.

It finally settled at 83.50 (provisional) against the dollar, 6 paise lower than its previous close.

On Monday, the rupee depreciated 10 paise to settle at 83.44 against the U.S. dollar.

“We expect the rupee to trade with a slight negative bias as the strength in the U.S. Dollar and surge in crude oil prices may keep the rupee under downside pressure,” said Anuj Choudhary – Research Analyst at Sharekhan by BNP Paribas.

Mr. Choudhary further said the overall positive trend in the domestic markets and expectations of fresh foreign inflows may support the rupee at lower levels. Traders may take cues from Fed Chair Jerome Powell’s speech and JOLTS job openings data from the U.S.

“USD/INR spot price is expected to trade in a range of ₹83.20 to ₹83.75,” Mr. Choudhary said.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.09% higher at 105.99.

Brent crude futures, the global oil benchmark, were trading 0.76% higher at $87.26 per barrel.

In the domestic equity market, the 30-share BSE Sensex fell 34.74 points, or 0.04%, to close at a new peak of 79,441.45 points. The broader NSE Nifty settled 18.10 points, or 0.07%, lower at 24,123.85 points.

Foreign Institutional Investors (FIIs) were net sellers in the capital markets on Monday, as they offloaded shares worth ₹426.03 crore, according to exchange data.

On Tuesday, the Rupee appreciated four paise and settled at 83.43 against the greenback.

The Rupee depreciated 17 paise against the U.S. dollar and settled at 83.60 (provisional) on June 26, weighed down by the strength of the American currency in the overseas market and elevated crude oil prices.

“However, a firm trend in domestic equities, wherein benchmark indices scaled new peaks, supported the local unit and restricted the downslide,” forex traders said.

At the interbank foreign exchange market, the local unit opened at 83.45 and hit the intraday high of 83.43 and a low of 83.61 against the greenback during the session. It finally settled at 83.60 (provisional) against the dollar, 17 paise lower than its previous close. On Tuesday, the Rupee appreciated four paise and settled at 83.43 against the greenback.

“We expect the Rupee to trade with a slight negative bias on dollar demand ahead from oil importers as we are heading towards the end of the month. A strong dollar and elevated crude oil prices may also put downside pressure on the Rupee,” said Anuj Choudhary, Research Analyst at Sharekhan by BNP Paribas.

“However, positive domestic markets and Foreign Institutional Investor (FII) and foreign inflows may support the Rupee. USDINR spot price is expected to trade in a range of ₹83.30 to ₹84,” Mr. Choudhary added.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.22% higher at 105.83. Brent crude futures, the global oil benchmark, were trading 0.80% higher at $85.69 per barrel.

In the domestic equity market, the 30-share BSE Sensex rose 620.73 points, or 0.80%, to close at a new peak of 78,674.25 points. The broader NSE Nifty settled 147.50 points or 0.62%, higher at a record 23,868.80 points.

FIIs were net buyers in the capital markets on June 25, as they purchased shares worth ₹1,175.91 crore, according to exchange data.

Meanwhile, Reserve Bank Governor Shaktikanta Das on Tuesday asserted that the high interest rates are not impeding growth, and made it clear that the monetary policy will “unambiguously” focus on getting down inflation going forward.

“The country is at the threshold of a “major structural shift” in its growth trajectory and is moving towards a path where 8% real GDP growth can be sustained on a yearly basis,” Mr. Das said, addressing an event by Bombay Chamber of Commerce and Industry.

Mumbai:

The Reserve Bank of India (RBI) sold $3.65 billion on a net basis in the spot foreign exchange market in April, data released on Wednesday as part of the central bank’s monthly bulletin showed.

The RBI said it purchased nearly $8 billion and sold $11.6 billion.

In March, the central bank had bought a net of $13.2 billion in the spot market.

The Indian rupee was little changed month-on-month in April but fell to its record low of 83.5750 during the month while its upside was capped at 83.15.

The RBI’s net outstanding forward sales stood at $16.3 billon as of end-April, compared with net forward sales of $541 million at the end of the previous month, the data showed.

The central bank intervenes in the spot and forwards market to curb exchange rate volatility of the rupee.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

At the interbank foreign exchange market, the local unit opened strong at 83.39 and moved in the range of 83.34 and 83.48 against the greenback during the session.
| Photo Credit: The Hindu

The Rupee paired its initial gains and settled one paisa lower at 83.44 (provisional) against the U.S. dollar on June 19 in sink with the domestic equity markets that turned choppy at the fag-end of the session.

Forex traders said the gaining momentum in the local unit was snapped by a firm American currency and higher level of crude oil prices in the overseas market.

At the interbank foreign exchange market, the local unit opened strong at 83.39 and moved in the range of 83.34 and 83.48 against the greenback during the session. The local unit finally settled at 83.44 (provisional) against the American currency, registering a loss of 1 paisa from previous closing level. On June 18, the Rupee had settled 12 paise higher at 83.43 against the U.S. dollar.

Jateen Trivedi, V-P Research Analyst – Commodity and Currency, LKP Securities, said the Rupee traded on a volatile note, showing strength at the opening but giving up gains as the dollar index found support near 104.80. “The Rupee is anticipated to continue trading in a volatile range between 83.25-83.60.”

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading higher by 0.01% at 104.88.

Analysts said the dollar index fell initially as the U.S. data showed the growth in retail sales was lower than expected, though the currency recovered with May industrial output numbers topping the forecast.

Officials of the U.S. Federal Reserve also indicated a hawkish stance to continue, dousing hopes of an interest rate cut until December. Brent crude futures, the global oil benchmark, declined 0.13% to $85.22 per barrel.

In the domestic equity markets, the 30-share BSE Sensex inched up 36.45 points, or 0.05% to 77,337.59 points. The broader NSE Nifty fell 41.90 points or 0.18%, to 23,516.00 points. Both the indices touched their fresh peak levels during intra-day.

Foreign Institutional Investors (FIIs) were net buyers in the capital markets on Tuesday, as they purchased shares worth ₹2,569.40 crore, according to exchange data.

Analysts attributed the strong FII buying to the firm domestic macroeconomic outlook and a sharp fall in the U.S. treasury yield. The government data released on Tuesday showed the net direct tax collection grew 21% to more than ₹4.62 lakh crore so far this fiscal on higher advance tax payments by corporates, reflecting robust economic activity.

Fitch Ratings on Tuesday raised India’s growth forecast for the current fiscal to 7.2%, from 7% projected in March, citing a recovery in consumer spending and increased investment.

Reports of selling of dollars by state-run banks also supported the rupee.  File
| Photo Credit: REUTERS

The rupee appreciated 13 paise to settle at 83.42 (provisional) against the U.S. dollar on Tuesday, buoyed by fresh inflow of foreign capital and a firm trend in domestic equity markets, wherein benchmark indices scaled new peaks.

Forex traders said reports of dollar selling by public sector banks supported the Indian currency. However, higher crude oil prices capped the gains in the local unit.

At the interbank foreign exchange market, the local unit opened at 83.52 and hit the intraday high of 83.39 against the greenback during the session.

It finally settled at 83.42 (provisional) against the dollar, registering a gain of 13 paise from its previous close.

On Friday, the rupee had settled 1 paisa lower at 83.55 against the U.S. dollar.

Forex markets were closed on Monday on account of Bakri Id.

Anuj Choudhary, Research Analyst at Sharekhan by BNP Paribas, said the rupee gained as domestic markets hit new all-time highs and amid fresh foreign fund inflows.

“Reports of selling of dollars by state-run banks also supported the rupee. However, a positive tone in the U.S. dollar and surge in crude oil prices capped sharp gains,” he said, adding, “USD-INR spot price is expected to trade in a range of ₹83.10 to ₹83.70.” Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 105.06, higher by 0.12%.

According to analysts, the U.S. dollar gained after hawkish comments by officials of the U.S. Federal Reserve, while market participants were awaiting further cues from retail sales and industrial production data from the U.S.

Brent crude futures, the global oil benchmark, declined 0.33% to $83.97 per barrel.

In the domestic equity market, the 30-share BSE Sensex rose 308.37 points, or 0.40%, to close at a new peak of 77,301.14 points. The broader NSE Nifty settled 92.30 points, or 0.39%, higher to close at an all-time high of 23,557.90 points.

Foreign Institutional Investors (FIIs) were net buyers in the capital markets on Friday, as they purchased shares worth ₹2,175.86 crore, according to exchange data.

Analysts attributed the strong investor sentiment to the firm domestic macroeconomic outlook.

Fitch Ratings on Tuesday raised India’s growth forecast for current fiscal to 7.2%, from 7% projected in March, citing a recovery in consumer spending and increased investment.

Meanwhile, India’s forex reserves jumped $4.307 billion to a new all-time high of $655.817 billion for the week ended June 7, the Reserve Bank of India (RBI) on Friday.

The kitty had jumped $4.837 billion to $651.51 billion in the previous reporting week.

The rupee consolidated in a narrow range and settled for the day lower by 7 paise at 83.55 (provisional) against the U.S. dollar on Thursday even as both the domestic equity benchmark indices touched all-time high levels.

Forex traders said rupee was seen resilient against the dollar, even after volatility witnessed in the dollar index, due to CPI data and U.S. Fed’s policy decision.

At the interbank foreign exchange, the local unit opened at 83.52 and finally settled for the day lower by 7 paise at 83.55 (provisional) against the American currency.

On Wednesday, the rupee appreciated 11 paise to close at 83.48 against the U.S. dollar.

“Rupee traded sideways in a range of 83.52-83.57 with stability. Even after volatility witnessed in the dollar index, due to CPI data and Fed’s policy decision, the rupee was seen resilient against the dollar.”

“Now the trend in rupee will remain range bound but underlying tone remains weak as rupee consolidation continues near all-time low. Major fall in dollar below $103 only will give strong rupee buying above 83.00 till then 83.20-83.75 approx range will be seen,” said Jateen Trivedi, VP Research Analyst – Commodity and Currency, LKP Securities.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 104.81, higher by 0.17%.

Brent crude futures, the global oil benchmark, declined 0.84% to $81.91 per barrel.

On the domestic macroeconomic front, India’s industrial production growth slipped to 3-month low of 5% in April 2024, mainly due to poor show by the manufacturing sector, though mining and power segments performed well, according to official data.

Meanwhile, retail inflation continued its downward slide to reach a one-year low of 4.75% in May due to a marginal decline of prices in the food basket and remained within the Reserve Bank’s comfort zone of below 6%, according to government data released on Wednesday.

On the domestic equity market, the 30-share BSE Sensex rose 204.33 points, or 0.27%, to close at a new peak of 76,810.90 points. The broader NSE Nifty settled 75.95 points or 0.33% higher at a record level of 23,398.90 points.

Foreign Institutional Investors (FIIs) were net buyers in the capital markets on Wednesday as they purchased shares worth ₹426.63 crore, according to exchange data.

At the interbank foreign exchange market, the local unit opened at 83.56. 
| Photo Credit: REUTERS

Rupee appreciated 3 paise to close at 83.56 (provisional) against the U.S. dollar on Wednesday, on positive domestic market, wherein benchmark sensitive index Nifty touched a fresh all-time high.

Forex traders said rupee is trading in a narrow range as all eyes are on the U.S. May CPI print and the U.S. Federal Reserve’s rate decision on the global front and India’s Consumer Price Index (CPI) on the domestic front.

Moreover, the strength of the American currency in the overseas market and elevated crude oil prices weighed on the local unit and restricted the upmove.

At the interbank foreign exchange market, the local unit opened at 83.56. During the trading session, the rupee touched an intraday high of 83.51 and a low of 83.56. It finally settled for the day at 83.56 (provisional) against the greenback, registering an increase of 3 paise from its previous closing level.

On Tuesday, the rupee settled for the day lower by 9 paise at 83.59 against the U.S. dollar.

The Indian rupee appreciated on positive domestic markets. Nifty touched a fresh all-time high. However, a positive U.S. dollar and surge in crude oil prices capped sharp gains, said Anuj Choudhary – Research Analyst at Sharekhan by BNP Paribas.

“We expect the rupee to trade with a slight negative bias as U.S. dollar is expected to strengthen amid expectations of a no change in Federal Open Market Committee (FOMC) meeting.”

“However, investors would watch out for Fed Chair Jerome Powell’s speech for cues on rate cut. Traders may take cues from India’s CPI and IIP data. Traders may also take cues from CPI data from the U.S. USD-INR spot price is expected to trade in a range of ₹83.20 to ₹84,” Mr. Choudhary added.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 105.20, lower by 0.03%. The U.S. dollar gained on expectations of further delay in first interest rate cut by the U.S. Federal Reserve.

Brent crude futures, the global oil benchmark, rose 1.11% to $82.83 per barrel.

On the domestic equity market, the 30-share BSE Sensex advanced 149.98 points, or 0.20%, to close at 76,606.57 points. The broader NSE Nifty settled 58.10 points, or 0.25%, higher to settle at an all-time high of 23,322.95 points.

Foreign Institutional Investors (FIIs) were net sellers in the capital markets on Tuesday, selling shares worth ₹111.04 crore, according to exchange data.

The rupee plunged 26 paise to 83.40 against the U.S. dollar in early trade on Tuesday as initial counting for the Lok Sabha elections indicated a mixed trend.

A weak trend in domestic equity markets also dented sentiments in early deals, forex traders said.

According to television reports, the BJP-led NDA surged ahead with leads in more than 200 parliamentary seats out of 350 for which trends were available, with the opposition INDIA bloc ahead in 120.

Counting of votes for the Lok Sabha elections began on Tuesday morning across states and Union Territories.

At the interbank foreign exchange market, the local unit opened weak at 83.25 and lost further ground to trade at 83.40 against the greenback in initial deals, registering a fall of 26 paise from its previous close.

On Monday, the rupee closed at 83.14 against the U.S. dollar.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.05% lower at 104.02.

Brent crude futures, the global oil benchmark, fell 0.61% to $77.88 per barrel.

On the domestic equity market, benchmark equity indices Sensex and Nifty tanked in early trade as initial counting for the Lok Sabha polls showed a mixed trend.

The 30-share index dropped 1,715.78 points to 74,753 in early trade. The NSE Nifty tumbled 539.1 points to 22,724.80.

Foreign investors were net buyers of Indian equities on Monday as they purchased shares worth ₹6,850.76 crore on a net basis. FIIs bought shares worth ₹23,451.26 crore and sold equities worth ₹16,600.50 crore in the cash segment.