Page 4 - Indian Rupee

Rupee falls 25 paise to close at 86.56 against dollar amid tariff threats

The rupee depreciated 25 paise to close at 86.56 (provisional) against the US dollar on Tuesday, as global risk sentiments were dampened amid tariff threats by the US President Donald Trump. Forex traders said the rupee continued to face pressure due to sustained foreign fund outflows and the strength of the American currency in the overseas market amid unabated dollar demand from oil importers and weak risk appetite. At the interbank foreign exchange, the rupee opened on a weak note at 86.53, and during the day touched a high of 86.50 and a low of 86.57 against the American currency. The local unit settled for the day at 86.56 (provisional), registering a fall of 25 paise over its previous close. On Monday, the rupee depreciated 9 paise to close at 86.31 against the US dollar. "The Indian rupee declined as global risk sentiments were dampened amid tariff threats by the US President Donald Trump. This impacted the Chinese Yuan, which also led to strengthening of the US dollar," sa

Rupee falls 26 paise to 86.57 against US dollar during early trade

The rupee depreciated 26 paise to 86.57 against the US dollar in early trade on Tuesday, due to unabated dollar demand from oil importers and weak risk appetite. Forex traders said the rupee continued to face pressure due to sustained foreign fund outflows and the strength of the American currency in the overseas market. Moreover, the upcoming Union Budget will play a crucial role in shaping market sentiment and the rupee's trajectory, as expectations are high for favourable measures aimed at rekindling foreign investments. At the interbank foreign exchange, the rupee opened at 86.53 then fell further to 86.57 against the American currency, registering a decline of 26 paise over its previous close. On Monday, the rupee depreciated 9 paise to close at 86.31 against the US dollar. The Indian rupee fell this morning as risk aversion was the name of the game, said Anil Kumar Bhansali, Head of Treasury and Executive Director Finrex Treasury Advisors LLP. "FPIs continued their selling

Rupee weakens amid yuan slide, potential equity outflows, trade concerns

Investors' focus will be the Federal Reserve's policy this week. The Fed is widely expected to make no changes to the policy rate and no new projections on inflation and rates are due at this meeting

Rupee depreciates 22 paise to 86.44 against US dollar in early trade

The rupee depreciated 22 paise to 86.44 against the US dollar in early trade on Monday, weighed down by the strength of the American currency in the overseas market and a muted trend in domestic equities. Forex traders said the Indian rupee gained on Friday but opened on a lower note on Monday as Trump Tariffs uncertainty gained. At the interbank foreign exchange, the rupee opened at 86.35 then fell further to 86.44 against the American currency, registering a decline of 22 paise over its previous close. On Friday, the rupee appreciated 22 paise to close at 86.22 against the US dollar. Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was at 107.67, higher by 0.21 per cent, after Trump threatened to apply 25 per cent Tariffs on Colombia after the plane carrying migrants was returned by the country. Meanwhile, the US has paused sanctions and tariffs on Colombia after it agreed to accept all the terms of President Donald Trump, ..

Depreciating rupee offers opportunities for NRIs, GCCs; risks remain ahead

While firms like KPMG, Emkay Global, CRISIL, and Anarock see potential gains for overseas investors, they also caution about the challenges ahead if the rupee's fall continues

Weaker rupee seen as boost for exports, but reality is more complex: FIEO

A weaker rupee is often seen as a boost for Indian exports by making goods more competitive globally, but the reality is more complex, the apex exporters' body FIEO said on Friday. Federation of Indian Export Organisations (FIEO) President Ashwani Kumar also said the recent depreciation of the domestic currency against the US Dollar represents a complex economic scenario with mixed outcomes. "A weaker rupee is not a one-size-fits-all solution to boost exports. A strategic, multi-pronged approach is needed to address the root causes of depreciation while mitigating its adverse effects," he said. Explaining it further, he said, that if the rupee depreciates by 2 per cent and the currencies of key competitors decline by 3-5 per cent, Indian exporters lose competitiveness in global markets. "This relative disadvantage erodes any potential price advantage Indian goods might gain," Kumar added. The domestic currency has depreciated over 4 per cent last year. The rupee closed at 86.22 .

Rupee posts biggest weekly gain in over a year, underperforms peers

The dollar/rupee forward premiums, meanwhile, extended declines this week, as the Reserve Bank of India conducted buy/sell swaps alongside its spot intervention

Looks like PM has made up his mind to make rupee hit a century: Congress

In a scathing attack on Prime Minister Narendra Modi over the falling value of the rupee against the US dollar, the Congress on Friday said the currency has fallen by 50 per cent in the last 10 years and it looks like the prime minister has made up his mind to make it hit a century. Addressing a press conference here with a magnifying glass in hand, Congress spokesperson Supriya Shrinate said she has brought it as she has lost track of how steeply the rupee has fallen and with that, the prime minister's dignity. "It was Mr Modi who said that along with the falling rupee, the prime minister's dignity and his office's grace also fall. I wonder what Prime Minister Modi has to say now," she said. "The rupee today is staring at 87 to a dollar, while he (Modi) was handed over the rupee at 58 to a dollar when he became the prime minister. The rupee has fallen by 29 against the dollar, which is a fall of 50 per cent in the last 10 years. It looks like he has made up his mind to make it hit

Rupee rises 18 paise to 86.26 against US dollar in early trade today

Rupee appreciated 18 paise to 86.26 against the US dollar in morning trade on Friday, supported by positive domestic equities and soft American currency index. Forex traders said weak crude oil prices and positive domestic markets supported the local unit, while sustained foreign fund outflows weighed on the local unit. Traders further noted that the upcoming Union Budget will play a crucial role in shaping market sentiment and the rupee's trajectory. At the interbank foreign exchange, the rupee opened at 86.31 and touched 86.26 against the US dollar, registering a rise of 18 paise from its previous close. The local unit also touched 86.33 against the US dollar initial trade. On Thursday, the rupee declined 9 paise to settle at 86.44 against the US dollar. The rupee has shown signs of resilience, appreciating over the past two trading sessions due to a weakening dollar. Moreover, on a positive note, upcoming inflows from fundraising activities by IREDA of USD 570 million are expec

RBI expected to transfer another bumper payout to govt, say analysts

The RBI makes an annual payout to the government from the surplus income it earns on investments and valuation changes on its dollar holdings

Rupee fell 20% in last 5 yrs, weakest currency in Southeast Asia: Moody's

Moody's Ratings on Thursday said the Indian rupee has depreciated by around 5 per cent in the last two years and has fallen by 20 per cent in the last five years making it one of the weakest performing currencies in South and South East Asia. Of the 23 rated Indian companies, Moody's assessed only six to be exposed to the effects of dollar strength, but these companies have sufficient mitigating factors. These companies are the three oil refining and marketing companies (OMCs), Bharat Petroleum Corporation (BPCL), Hindustan Petroleum Corporation (HPCL) and Indian Oil Corporation (IOCL), building materials producer UltraTech Cement, Bharti Airtel and ride sharing company ANI Technologies Pvt Ltd. "While the rupee has depreciated by only around 5 per cent in the last two years, it has fallen over 20 per cent since January 2020, making it one of the weakest-performing currencies in South and Southeast Asia," Moody's said in its report on Corporates '? South and Southeast Asia Emerging

Amid FII outflow, Rupee falls 12 paise to settle at 86.47 against dollar

The rupee declined 12 paise to settle at 86.47 (provisional) against the US dollar on Thursday amid the strengthening American currency and continuous outflow of foreign funds. However, positive domestic equity markets and lower crude oil prices supported the Indian currency at lower level, forex traders said. At the interbank foreign exchange, the rupee opened at 86.46 and moved between high of 86.38 and low of 86.52 against the greenback during the session. The local unit settled at 86.47 (provisional) against the US dollar, registering a loss of 12 paise from its previous close. On Wednesday, the rupee appreciated 23 paise to close at 86.35 against the dollar. Anuj Choudhary, Research Analyst at Mirae Asset Sharekhan, said the rupee declined on a strong US dollar and recovery in the US treasury yields. FII outflows too weighed down the local unit. However, weak crude oil prices and positive domestic markets cushioned the downside. "Investors may remain cautious ahead of Bank of

Rupee declines 5 paise to 86.40 against US dollar in early trade today

The rupee declined 5 paise to 86.40 against the US dollar in early trade on Thursday amid a strengthening greenback. While a drop in crude oil rates and an upward trend in the domestic equity markets prevented further decline in the local currency, forex traders expected it to remain volatile throughout the day and trade in a wide range of 86.20-86.60. At the interbank foreign exchange, the rupee opened at 86.46, down 11 paise from its previous close, and dropped further to 86.52. However, it recovered some of its losses as the equity markets showed an upward trend to rise to 86.40, lower by 5 paise from Wednesday's close. The domestic currency had appreciated 23 paise to close at 86.35 against the US dollar on Wednesday. "Exporters may continue to wait with a stop loss at 86.25 since the rupee continues to remain in a weakening mode due to US dollar demand," Anil Kumar Bhansali, Head of Treasury and Executive Director, Finrex Treasury Advisors LLP, said. "The rupee, which gained

After Tuesday fall, rupee rises 25 paise to close at 86.33 against dollar

The rupee appreciated 25 paise to close at 86.33 (provisional) against the US dollar on Wednesday, supported by positive domestic equities and soft US dollar index. Forex traders said the rupee is likely to witness high volatility with a negative bias ahead of key events in the global and domestic economic landscape. Moreover, the overall uncertainty about the global economy continued to weigh on both currencies and commodities, keeping investors on edge. At the interbank foreign exchange, the rupee opened at 86.56 against the greenback. During the day, the local unit touched an intraday high of 86.30 and a low of 86.71. It finally closed at 86.33 (provisional) against the US dollar, up 25 paise from its previous close. On Tuesday, the rupee fell 13 paise to 86.58 against the US dollar. "We expect the rupee to remain largely weak on underlying strength in the US dollar and overall weakness in the domestic markets. Importer demand for dollars may also pressurise the rupee. However

Rupee gave up early gains post Trump's Mexico, Canada tariff threat

The Reserve Bank of India (RBI) intervened in the foreign exchange market via dollar sales to avoid further depreciation of the rupee

Rupee rises 17 paise to 86.28 against US dollar during early trade

Rupee appreciated 17 paise to 86.28 against the US dollar in morning trade on Tuesday, as the US dollar index and crude oil prices retreated from their elevated levels. Forex traders said the dollar weakened from its 109 levels but clawed back to 108.31 as Donald Trump declared tariffs against Canada and Mexico in the near future but stopped short of declaring any tariffs against China. While uncertainty eased slightly, concerns regarding tariffs still lingered in the background, as the traders began to adjust their expectations, betting that even if tariffs were imposed, they would likely be less aggressive, traders said. At the interbank foreign exchange, the rupee opened at 86.28, registering a rise of 17 paise from its previous close of 86.45 against the greenback. The local unit also touched 86.43 against the US dollar initial trade. Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading lower by 0.94 per cent at ...

RBI may turn to longer buy-sell swaps amid rising $ short positions

More changes likely in liquidity management framework

Rupee rises 5 paise to 86.55 against dollar on decline in crude prices

The rupee appreciated 5 paise to close at 86.55 (provisional) against the US dollar on Monday, as an overnight decline in crude oil prices and the US dollar index supported investor sentiments. Besides, a positive trend in domestic equities also helped the local currency, Forex traders said the rupee is likely to trade within a volatile range of 86.20-86.80 ahead of key events in the global and domestic economic landscape. At the interbank foreign exchange, the rupee opened on a strong note at 86.48 against the greenback. During the day, the local unit touched an intraday high of 86.46 and a low of 86.57. It finally closed at 86.55 (provisional), a rise of 5 paise against the US dollar. In the previous session on Friday, the rupee settled at 86.60. According to Anuj Choudhary Research Analyst at Mirae Asset Sharekhan, the rupee strengthened against the greenback on the weak tone in the US Dollar index and positive domestic markets. Overnight decline in crude oil prices also supp

Rupee rises 14 paise to 86.46 against US dollar in early trade today

Rupee appreciated 14 paise to 86.46 against the US dollar in morning trade on Monday, tracking a positive trend in domestic equities and Asian currencies. Forex traders said factors like elevated Dollar Index level as well as surging crude oil prices pose significant headwinds for the USD/INR pair. At the interbank foreign exchange, the rupee opened at 86.48 and touched 86.46 against the greenback, registering a gain of 14 paise over its previous close. On Friday, the rupee had settled at 86.60 against the US dollar. Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading lower by 0.22 per cent at 109.10. Brent crude, the global oil benchmark, fell by 0.12 per cent to USD 80.69 per barrel. The overall strength of the American currency and elevated crude oil prices are likely to strain India's trade balance, creating challenges for sustained rupee appreciation, forex traders said. As Asian currencies rose Indian rupee ope

Rupee REER declines in December after November peak, shows RBI data

The REER is expected to have declined further in January 2025, said market participants