The rupee is down about 0.73% against the dollar so far this year
The rupee advanced by over 30 paise against the dollar to move above the 70 mark on Thursday. That marked the first time in about two months the rupee traded in 69 levels against the dollar in intraday trade. The rupee gained by as much as 33 paise to touch 69.95 against the greenback in morning trade. Still down about 0.73 per cent till Wednesday's close so far this year, the rupee had gained by 64 paise in two trading sessions.
Here are ten things to know about movement in the rupee against the dollar (INR vs USD):
- The rupee opened at 69.98 against the US currency on Thursday, and moved in a range of 69.95-70.13 in morning.
- The rupee had last strengthened above the 70 mark against the dollar in intraday trade on January 8.
- Mild gains in domestic equity markets amid foreign inflows along with easing crude oil prices supported the currency, say analysts.
- “The rupee has appreciated on back of easing crude oil prices. There is lot of optimism regarding trade deal between the US and China,” said Rushabh Maru, research analyst at Anand Rathi Shares and Stock Brokers.
- Till Wednesday's close, global crude oil prices have declined 23.97 per cent since the October high of $86.74 per barrel, data showed. On Thursday, the rates edged higher in anticipation of tightening supply going forward. Brent crude futures - the global benchmark for crude oil - were last seen trading 0.56 per cent higher at $66.36 per barrel.
- “Rupee is likely to outperform if crude prices remain stable,” said forex advisory firm IFA Global.
- Mr Maru however added that volatility is expected to rise in the forex market in the coming sessions as general election approaches.
- Foreign portfolio investors net purchased equities worth Rs 1,130.78 crore on Wednesday while domestic institutional investors offloaded a net Rs 878.45 crore in capital markets, according to provisional data from the NSE.
- IFA Global said it expects 69.80-70.00 levels to act as crucial support for the rupee in the near term.
- Meanwhile, the Sensex rose more than 100 points while the Nifty held the 11,050 mark in morning session, with buying in FMCG and energy stocks supporting the markets.
(With agency inputs)
Get the latest election news, live updates and election schedule for Lok Sabha Elections 2019 on ndtv.com/elections. Like us on Facebook or follow us on Twitter and Instagram for updates from each of the 543 parliamentary seats for the 2019 Indian general elections.