Rupee Closes Above 72-Mark Against Dollar For First Time In 2 Months: 10 Points

Rupee Closes Above 72-Mark Against Dollar For First Time In 2 Months: 10 Points
The rupee is still down around 12.7% against the dollar so far this year
  1. The rupee opened higher at 72.04 against the greenback and rose as much as 43 paise - or 0.6 per cent - during the session before settling at 71.97 for the day.
  2. The rupee has gained by a total 92 paise - or 1.3 per cent - in three consecutive sessions.
  3. Analysts say the rupee took support from the fall in crude prices. "Drop in US 10-yr bond yield followed by gradual pick up in FII (foreign institutional investor) inflow to domestic market and slide in oil prices eased the concerns of liquidity," news agency Press Trust of India cited Vinod Nair, head of research at Geojit Financial Services, as saying.
  4. Crude oil prices steadied and traded at $66 a barrel levels on Thursday, after losing nearly 7 per cent over the previous three days. Brent – the global benchmark for crude oil - has lost about a quarter of its value in only six weeks, pressured by a slowing global economy and soaring crude output led by the US.
  5. Opposition within Britain's Conservative Party to a draft European Union exit - or Brexit - deal led to an over 1.5 per cent hit in the sterling while lifting the dollar. UK Prime Minister Theresa May battled to save a draft divorce deal with the EU after her Brexit secretary and other ministers quit in protest at an agreement they say will trap Britain in the bloc's orbit for years.
  6. The dollar has emerged as a dominant safe haven asset this year especially as the US-China trade tussle played out against a backdrop of rising interest rates in the world's largest economy. 
  7. Domestic stock markets rose around 0.3 per cent on Thursday, with the Sensex gaining 118 points to settle at 35,260 and the Nifty ending 40 points higher at 10,616. Investor sentiment got lifted after foreign investors pumped fresh funds into the market.
  8. Foreign institutional investors (FIIs) bought shares worth a net Rs 2,043.06 crore on Thursday, provisional data from stock exchange NSE showed.
  9. Meanwhile, trade deficit widened with a 17.6 per cent increase in imports to $44.11 billion, against a nearly 18 per cent jump in exports to $26.98 billion last month, official data showed on Thursday. The trade gap - the difference between the value of imports and exports - stood at $17.13 billion, as against $14.61 billion in the corresponding month a year ago.
  10. The rupee is still down around 12.7 per cent against the dollar so far this year.
Share
Unlock this article for free
Sign up to access exclusive stories, fewer ads, and a personalised experience.
Live TV
Apps
Social
Hello Reader
Sign In / Register
Set as Trusted Source
on Google Search
Add NDTV Profit As Google Preferred Source