The rupee settled at 68.7450 against 69.15 at the previous close. The
local unit moved in 68.70-69.37 per dollar band intra-day.
The Indian rupee rose to a two-week high on the first day of this
fiscal year, logging a second straight day of gains against the dollar,
helped by banks’ greenback sales amid likely inflows into local
assets. Indian money markets were shut yesterday. Most Asian
currencies ended lower against the dollar. There has been both
foreign investors’ flow in the local bond market and some bunchedup
inflows after the holiday. However move in the dollar index and
crude oil prices are putting some depreciative pressure on local unit.
Global Currency
The dollar was close to its highest level in nearly three weeks in early
trading in Europe Tuesday, as the rising likelihood of a disruptive and
disorderly Brexit hit confidence in both the euro and sterling.
The euro fell to a three-and-a-half week low and stood precariously
near its weakest since June 2017 on Tuesday, as investors seized on
relatively strong data out of the United States to buy the dollar. The
euro weakened 0.2 percent to $1.1190, slightly above the $1.1176
EUR=EBS level reached last month - the weakest since June 2017.
The market is bearish and short, the poor data are not unexpected,
but even so, a break through $1.1150 would surely trigger shortterm
stops
Global Markets
Gold prices steadied near their lowest in about four-weeks on
Tuesday as robust economic data from the United States and China
tempered concerns of a global slowdown, boosting the dollar.
Oil hit a 2019 high above $69 a barrel on Tuesday on the prospect
that more sanctions against Iran and further Venezuelan disruptions
could deepen an OPEC-led supply cut, and as the market became less
worried that demand may slow.
