[ad_1]
Rupee Vs Dollar Today: The rupee settled at 72.97 against the dollar
Registering decline for the second straight day, the rupee depreciated by eight paise against the US dollar to settle at 72.97, following a muted trend in domestic equities. At the interbank foreign exchange market, the local unit opened on a negative note at 72.90 against the dollar, after its previous close of 72.89. The rupee swung in the range of 72.88 to 73.02 against the dollar during the day before closing at 72.97. In an early trade session, the local unit opened on a flat note, slipping one pair to 72.90 against the greenback.
The domestic currency has lost 17 paise in the two trading sessions to Wednesday, June 9. Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, slipped 0.09 per cent to 89.99. According to traders, the domestic unit traded in a narrow range amid the lack of any major data in the domestic and the international markets.
“The USDINR spot is hovering around 73 zone, whether it will bounce or not depends on US CPI. The fx traders await some guidance from tomorrow’s CPI data and ECB policy. An upbeat CPI data won’t provide an excuse for the Fed to defer the tapering debate a little longer but all will be revealed at the June 16th FOMC meeting,” said Mr. Rahul Gupta, Head Of Research- Currency, Emkay Global Financial Services.
Until then in USDINR spot, 73.25-73.30 is a crucial resistance, a consistent above that can push prices towards 73.60-73.75 zone while 72.75-72.50 will act as crucial support,” he added.
”USDINR has become slightly biddish yesterday as oil prices rose and we approach the inflation data tomorrow and FED meeting on 16th and 17th. A range of 72.80 to 73.15 is expected for the day. Importers to buy at the lower end while exporters to sell at the upper end. A bit of caution is required for the data and the meet,” said Mr Anil Kumar Bhansali, Finrex Treasury Advisors.
On the domestic equity market front, the BSE Sensex ended 333.93 points, or 0.64 per cent lower at 51,941.64, while the broader NSE Nifty declined 104.75 points or 0.67 per cent to close at 15,635.35.
The rupee found some support from inflows on account of Shriram Transport QIP of Rs. 2000 crores. That apart, upcoming IPO’s on account of Shyam Metallic Rs 1100 cr, Utkarsh Small Finance Bank Rs.750 cr, and Glenmark Life Sciences Rs.1100 cr could attract some FII flows and support the rupee,” said Mr Amit Pabari, MD, CR Forex
Further drive in rupee movement will be tracked whether RBI gets lenient on rupee appreciation or cap its gains thereof. Technically, the next support for the pair is near 72.70 levels and 73.30 remains a strong resistance, keeping the pair consolidated between 72.70-73.30 for the near term,” added Mr Pabari.
“Today, strong rejection at 15800/52500 levels resulted in a vertical decline in the market. The Nifty/Sensex fell to 15565/51717 in a short span of time. The market breadth, which was extremely positive in the first half of the trading session, turned negative in the second half and the market closes comfortably below the levels of 15670/52100. It’s a bearish reversal formation for the market and in the next one or two sessions, the market may fall to 15500 or 15450 levels,” said Shrikant Chouhan, Executive Vice President, Equity Technical Research at Kotak Securities.
According to exchange data, the foreign institutional investors were net buyers in the capital market on June 8 as they purchased shares worth Rs 1,422.71 crore. Brent crude futures, the global oil benchmark, rose 0.35 per cent to $ 72.47 per barrel.
[ad_2]
Source link
