Rupee vs Dollar TodayThe rupee fell by 16 paise, or 0.22 percent, to close at 73.64 against the US dollar on Tuesday amid a mixed trend among Asian currencies. It traded in the range of 42 paise, starting the four-hour session at 73.37, against its previous close of 73.48, against the Greenbacks, between 73.31 and 73.73. Analysts said the rupee depreciation was limited overseas due to strong domestic equities and weakness in the US currency.
Official data shows that domestic stock markets rose faster than expected in August and retail inflation declined slightly in August. Small and midcap stocks increased their gains from the previous session, giving the markets a boost.
The S&P BSE Sensex index rose 0.83 percent to 39,079.30 during the session, while the NSE Nifty 50 benchmark climbed 0.83 percent to end at 11,534.55.
Abhishek Goenka, founder and CEO of forex advisory firm IFA Global, said, “The global risk perception is picking up by the end of 2020 (COVID-19) vaccine.”
The yield on the 10-year government bond was unchanged for the day at 6.03 percent.
Domestic consumer prices rose 6.69 percent in August, lower than market expectations but still higher than the RBI’s tolerance band upper limit of 4-6 percent. Since higher print was expected, the bond market should take the data. Its progress, ”Mr. Goenka said.
The dollar index – which measures the greenback against six other currencies – last traded 0.17 percent lower, down 0.24 percent from the previous one on Tuesday.
Crude oil prices rose, but the global fuel demand due to the coronovirus epidemic caused more recovery than expected. Brent crude futures – the global benchmark for crude oil – jumped 1.69 percent to $ 40.28 a barrel.
At current levels, the rupee is down 3.17 percent against the dollar so far this year.