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| Photo Credit: R. Ragu

The rupee traded flat at 83.53 against the U.S. currency in early trade on July 12 amid firm crude oil prices and gains in domestic stocks.

At the interbank foreign exchange market, the rupee opened flat at 83.53 against the U.S. dollar. The local unit moved in a tight range of 83.50 to 83.54 in morning deals.

The rupee was trading flat at 83.53 against the U.S. dollar at 0935 hrs.

Forex dealers said the impact of firm crude oil prices was offset by overnight losses in the US dollar index and early gains in the domestic equity markets.

The U.S. dollar index eased on Thursday after softer US inflation data raised hopes of rate cut by the US Fed by September.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.05% lower at 104.49.

Brent crude futures, the global oil benchmark, were trading 0.20% higher at USD 85.60 per barrel.

Domestic equity markets were trading higher in early session on Friday. Benchmark Sensex climbed 226.11 points to 80,123.45 while broader Nifty was up 82.1 points to 24,398.05.

Foreign institutional investors (FIIs) were net sellers in the capital markets on Thursday as they offloaded shares worth Rs 1,137.01 crore, according to exchange data.

The rupee appreciated 5 paise to 83.45 against the US dollar in early trade on Friday, July 5, 2024, as the American currency retreated from its elevated levels and was supported by significant foreign fund inflows.

At the interbank foreign exchange market, the local unit opened at 83.48 and gained further to 83.45 against the greenback, registering a rise of 5 paise from its previous close.

On Thursday, the rupee pared its initial losses and settled for the day on an almost flat note at 83.50 against the US dollar.

Forex traders said rising crude oil prices weighed on investor sentiments and restricted the upside. Brent crude futures, the global oil benchmark, declined 0.37 per cent to USD 87.11 per barrel.

“The pressure stems from oil marketing companies purchasing crude in anticipation of further price hikes, with Brent oil hovering around USD 87 per barrel. Additionally, it appears the Reserve Bank of India (RBI) is managing the rupee’s volatility, capping both its upward and downward movements,” CR Forex Advisors MD Amit Pabari said.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 105, lower by 0.12 per cent.

“The Dollar Index fell towards 105 levels and US 10-year bond yields dropped towards 4.35 per cent, as a series of economic data showed a cooling US economy, thereby heightening the expectations that the US Fed will cut rates sometime soon,” Pabari added.

On the domestic equity market front, the 30-share BSE Sensex fell 386.58 points, or 0.48 per cent, to 79,663.09 points. The broader NSE Nifty declined 84.85 points, or 0.35 per cent, to 24,217.30 points.

Foreign Institutional Investors (FIIs) were net buyers in the capital markets on Thursday, as they purchased shares worth ₹2,575.85 crore, according to exchange data.

The rupee depreciated 5 paise to 83.53 against the US dollar in early trade on Wednesday, July 3, 2024, weighed down by the strong American currency and elevated crude oil prices.

Forex traders said the rupee is trading in a narrow range as US dollar buying by oil companies and Foreign Portfolio Investors (FPIs) further dented investor sentiment, while a firm trend in domestic equities supported the rupee at lower levels.

At the interbank foreign exchange market, the rupee opened at 83.51 and lost further ground to trade at 83.53 against the greenback in initial deals, registering a fall of 5 paise from its previous closing level.

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

“… Global factors such as the elevated US DXY around 105.50, the depreciation of the Yen and Yuan, and the rise in US bond yields have prevented the rupee from gaining significant strength and moving away from its multi-month low,” CR Forex Advisors MD Amit Pabari said.

Rupee traders are in for a roller-coaster ride, though within a constrained range of 83.20 to 83.70 for the time being, Pabari added.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 105.71, lower by 0.01 per cent, following a surge in US treasury yields.

Brent crude futures, the global oil benchmark, advanced 0.55 per cent to USD 86.71 per barrel.

In the domestic equity market, Sensex hit the historic 80,000-mark and Nifty scaled fresh lifetime highs in early trade. The BSE Sensex was later trading 446.5 points, or 0.56 per cent higher at 79,887.95 points. The broader NSE Nifty advanced 132.50 points, or 0.55 per cent, to 24,256.35 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.

At the interbank foreign exchange market, the local unit opened at 83.56 and gained further to trade at 83.54 against the greenback in initial deals. File.
| Photo Credit: Reuters

The rupee appreciated 5 paise to 83.54 against the U.S. dollar in early trade on June 12, boosted by positive sentiments in the domestic equity market.

Forex traders said rupee is trading in a narrow range as all eyes are on the U.S. May CPI print and the Fed 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 and gained further to trade at 83.54 against the greenback in initial deals, registering an increase of 5 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 has remained steady despite a strengthening US Dollar driven by rising U.S. bond yields and diminished expectations of Fed rate cuts following robust US employment figures,” CR Forex Advisors MD Amit Pabari said.

Mr. Pabari further said that falling fiscal deficits, stronger growth and reduced political uncertainties, with Narendra Modi’s coalition government taking charge, have provided some support for the rupee.

“The Reserve Bank of India, armed with substantial reserves of USD 651 billion, stands ready to intervene to prevent significant rupee depreciation,” he said.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.03% higher at 105.25.

Brent crude futures, the global oil benchmark, rose 0.41% to USD 82.26 per barrel.

On the domestic equity market, the 30-share BSE Sensex was trading 269.20 points, or 0.35% higher at 76,725.79 points. The broader NSE Nifty advanced 92.60 points or 0.4% to 23,357.45 points in initial trade.

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

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| Photo Credit: R. Ragu

The rupee appreciated 5 paise to 83.24 against the U.S. dollar in early trade on May 31 boosted by robust sentiment in domestic equity markets and a downward trend in the crude oil prices overseas.

Forex traders said, however, strong American currency and unabated outflow of foreign capital weighed on the local unit.

Also, they said market participants are expected to take cues from domestic macroeconomic data to be released later in the day.

At the interbank foreign exchange market, the local unit opened at 83.25 and gained further to trade at 83.24 against the greenback in initial deals, registering an increase of 5 paise from its previous closing level.

On Thursday, the rupee gained 11 paise to close at 83.29 against the U.S. dollar.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.13 per cent higher at 104.79.

The latest US GDP data released on Thursday showed the world’s largest economy grew at a slower pace of 1.3% against the projected 1.6% in the January-March quarter. This triggered expectations of interest rate reduction by the Federal Reserve.

Brent crude futures, the global oil benchmark, fell 0.38% to USD 81.55 per barrel.

On the domestic equity market, the 30-share BSE Sensex was trading 500.19 points, or 0.68% higher at 74,385.79 points. The broader NSE Nifty soared 143.80 points or 0.64% to 22,632.45 points in initial trade.

Foreign Institutional Investors (FIIs) were net sellers in the capital markets on Thursday, selling shares worth ₹3,050.15 crore, according to exchange data.

The rupee appreciated by 4 paise to 83.06 against the U.S. dollar on May 27, 2024. File
| Photo Credit: Reuters

The rupee appreciated by 4 paise to 83.06 against the U.S. dollar on May 27, tracking a positive trend in domestic equities, wherein benchmark indices scaled new peaks.

Forex traders said the weakness of the American currency in the overseas market supported the rupee, while elevated crude oil prices in the international market restricted the upmove.

At the interbank foreign exchange market, the local unit opened at 83.08 and gained further ground to trade at 83.06 against the greenback, registering a gain of 4 paise from its previous closing level.

On Friday, the rupee rallied for the fourth consecutive trading session and settled with a sharp gain of 19 paise at 83.10 against the U.S. dollar.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 104.70, lower by 0.02%.

Brent crude futures, the global oil benchmark, advanced 0.19% to $82.28 per barrel.

On the domestic macroeconomic front, India’s forex reserves jumped $4.549 billion to a new all-time high of $648.7 billion for the week ended May 17, the Reserve Bank said on Friday.

This is the third consecutive week of increase in the overall kitty, which had increased by $2.561 billion to $644.151 billion in the previous reporting week ended May 17.

“India’s robust economic fundamentals and significant foreign exchange reserves, which reached an all-time high of $648.7 billion as of May 17, provide a solid buffer for the RBI to counter any downward pressure on the rupee,” CR Forex Advisors MD Amit Pabari said.

Additionally, substantial foreign direct investment (FDI) inflows are anticipated. The Adani Group is planning to raise $3.5 billion through a Qualified Institutional Placement (QIP), while Torrent Pharma aims to secure $0.60 billion through convertible bonds or debentures, Mr. Pabari added.

“Given these factors, the rupee is expected to appreciate to around 82.80–82.50 in the near-term, with medium-term projections ranging between 82.20 and 82.00,” Mr. Pabari said.

On the domestic equity market, both the benchmark indices scaled new peaks. The 30-share BSE Sensex was trading 168.04 points, or 0.22% higher at 75,578.43 points. The broader NSE Nifty advanced 47.25 points or 0.21% to 23,004.35 points in initial trade.

Foreign Institutional Investors (FIIs) were net sellers in the capital markets on Friday, as they offloaded shares worth ₹944.83 crore, according to exchange data.

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| Photo Credit: MUSTAFAH KK

The rupee opened on a flat note against the U.S. dollar in early trade on May 17, weighed down by a negative trend in domestic equities and the strength of the American currency in the overseas markets.

Forex traders said the Indian rupee underperformed among the Asian currencies amid higher imported commodity prices and foreign fund outflows amid worries about election results.

At the interbank foreign exchange market, the local unit moved in a narrow range. It opened at 83.50 against the American currency and touched 83.49 in the initial trade.

On Thursday, the rupee had settled at 83.50 against the U.S. dollar.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was at 104.61, higher by 0.15%.

Brent crude futures, the global oil benchmark, rose 0.26% to USD 83.49 per barrel.

“Indian rupee was again sold off despite gains in other Asian currencies on Thursday and closed at RBI-controlled level of 83.50,” said Anil Kumar Bhansali, Head of Treasury and Executive Director Finrex Treasury Advisors LLP.

Bhansali further noted that the rupee is likely to trade in a narrow range of 83.45 to 83.55 during the day.

On the domestic equity market, the 30-share BSE Sensex was trading 196.15 points, or 0.27% lower at 73,467.57 points. The broader NSE Nifty was down 44.00 points, or 0.2%, to 22,359.85 points.

Foreign Institutional Investors (FIIs) were net sellers in the capital markets on Thursday, as they offloaded shares worth ₹776.49 crore, according to exchange data.

The rupee appreciated 8 paise to 83.44 against the U.S. dollar in early trade on Thursday, as the American currency retreated from its elevated levels.
| Photo Credit: C. Venkatachalapathy

The rupee appreciated 8 paise to 83.44 against the U.S. dollar in early trade on Thursday, as the American currency retreated from its elevated levels.

Forex traders said a negative trend in domestic equities and foreign fund outflows weighed on the local unit and restricted the up move.

At the interbank foreign exchange market, the local unit opened at 83.49 against the greenback. It later touched 83.44 in initial trade, registering a rise of 8 paise from its previous close.

On Wednesday, the rupee stayed range-bound and settled 1 paisa lower at 83.52 against the U.S. dollar.

“Indian rupee was sold against the dollar as FPIs continued to sell stocks worth over ₹6,000 crore on Wednesday and bought dollars keeping US dollar higher,” said Anil Kumar Bhansali, Head of Treasury and Executive Director Finrex Treasury Advisors LLP.

Dollar buying could reemerge despite U.S. dollar selling by the Reserve Bank of India (RBI) to protect the rupee, Mr. Bhansali added.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 105.51, lower by 0.03%.

“The US FED speakers warned that interest rates could remain higher for longer. More speakers would give their rhetoric on Thursday and Friday. The dollar index was stable at 105.54 while the US 10-year bond yield rose from 4.46% to 4.50%,” Mr. Bhansali said.

Brent crude futures, the global oil benchmark, rose 0.43% to USD 83.94 per barrel.

On the domestic equity market front, the 30-share BSE Sensex declined 176.2 points or 0.24% to 73,290.19 in early trade. The NSE Nifty fell 49.75 points or 0.22% to 22,252.75 points.

Foreign Institutional Investors (FIIs) were net sellers in the capital markets on Wednesday, as they offloaded shares worth ₹6,669.10 crore, according to exchange data.

The rupee was trading in a narrow range against the U.S. dollar in early trade on May 8.
| Photo Credit: REUTERS

The rupee was trading in a narrow range against the U.S. dollar in early trade on May 8, amid a negative trend in domestic equities and strong American currency.

Forex traders said significant foreign fund outflows in the international market dented investors’ sentiments.

At the interbank foreign exchange market, the local unit opened at 83.50, and touched 83.49 in initial trade, registering a gain of 2 paise from its previous close.

On May 7, the rupee closed at 83.51 against the American currency.

Forex traders easing crude oil prices supported the rupee and restricted the downside.

“Demand for dollars from foreign investors kept the rupee down on May 7 and though May 8th’s opening looks to be flat, the demand should continue. Selling by the Reserve Bank of India (RBI) could keep it range-bound.

“Importers are expected to adopt ‘wait and watch’ approach with a stop loss on breach of 83.60,” said Anil Kumar Bhansali, Head of Treasury and Executive Director Finrex Treasury Advisors LLP.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was at 105.55, higher by 0.14%.

Brent crude futures, the global oil benchmark, fell 0.43% to $82.80 per barrel.

On the domestic equity market, the 30-share BSE Sensex was trading 256.62 points, or 0.35% lower at 73,255.23 points. The broader NSE Nifty was down 60 points, or 0.27%, to 22,242.50 points.

Foreign Institutional Investors (FIIs) were net sellers in the capital markets on May 7 as they offloaded shares worth ₹3,668.84 crore, according to exchange data.

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| Photo Credit: Nagara Gopal

The rupee depreciated 6 paise to 83.58 against the U.S. dollar in early trade on April 19, weighed down by a negative trend in domestic equities and elevated crude oil prices.

Forex traders said the strength of the American currency in the overseas market also dented investor sentiments.

At the interbank foreign exchange, the rupee opened at 83.58 against the dollar, registering a fall of 6 paise over its previous close.

The local unit pared the initial losses and also touched a high of 83.46 against the American currency in early trade on Friday.

On Thursday, the rupee rebounded from its all-time low level and closed 9 paise higher at 83.52 against the U.S. dollar Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was at 106.17, higher by 0.02%.

Brent crude futures, the global oil benchmark, rose 2.46% to USD 89.25 per barrel.

“Brent Oil prices moved up to USD 90.48 per barrel after Iran threatened to review its stance on nuclear weapons if Israel attacked Tehran’s nuclear sites,” said Anil Kumar Bhansali, Head of Treasury and Executive Director Finrex Treasury Advisors LLP.

Asian currencies were a tad lower on news of the conflict rising further as IDR fell to 16281, while the won fell to 1390. CNH also was lower at 7.2569. The yen was higher at 153.68 on account of risk aversion.

“Risk-off sentiments will keep the rupee on the weaker side,” Bhansali said.

On the domestic equity market, the 30-share BSE Sensex was trading 489.77 points, or 0.68% lower at 71,999.22 points. The broader NSE Nifty was down 144.35 points, or 0.66%, to 21,851.50 points.

Foreign Institutional Investors (FIIs) were net sellers in the capital markets on Thursday as they offloaded shares worth ₹4,260.33 crore, according to exchange data.