The Indian rupee little changed at 70.46 pair now at 70.50 against
70.46 previous close.
Pair to tip in 70.25- 70.75 range today.
The Indian rupee rose against the dollar in early trade, as increased
expectations following the Federal Reserve’s latest meeting minutes
that it may pause rate tightening cycle outweighed the impact of an
uptrend in crude oil prices. Dovish Fed minutes and optimism on
outcome of U.S.-China trade talks added to sell-off in the dollar,
lifting Asian currencies, including the rupee, which has seen some
weakness on back of uptick in oil prices and outflows. The currency is
expected to remain range bound as importers are expected to step
up Dollar purchases later in the session.
Global Currency
The dollar weakened versus major peers such as the euro and yen on
Thursday due to growing expectations the Federal Reserve will pause
its rate tightening cycle this year. Minutes from the Fed's Dec. 18‐19
meeting revealed that several policymakers were in favour of the US
central bank keeping rates steady this year. Market sentiment
turned slightly cautious in Asian trade as market waited for concrete
evidence that progress is being made in U.S.-China trade talks.
The euro and sterling each gained marginally on the dollar, fetching
$1.1547 and $1.2790 respectively. However, traders expect the
strength in both these currencies to fade in the coming weeks.
Global Markets
Oil prices fell by about 1 percent on Thursday on swelling U.S. supply
and amid a cautious reaction to trade talks between the United
States and China, the world's two largest oil consumers, that finished
without concrete details to ending their dispute.
Gold prices rose on Thursday as growing expectations that the U.S.
Federal Reserve will pause its rate tightening cycle this year and an
impasse between U.S. President Donald Trump and Democrats on
funding for a border wall weighed on the dollar.
