The Indian rupee little changed at 71.45 pair now at 71.3450 against 71.54 previous close.
Pair to tip in 71.20- 71.55 range today.
The Indian rupee rose to an 11-week high against dollar in early trade, as the government and the central bank were seen reaching an agreement on most contentious issues at the Reserve Bank of India’s board meeting. The rupee has been the top performer among the Asian units following the RBI’s board meeting, which ended with RBI and New Delhi reaching a compromise, thereby avoiding any setbacks to the financial markets.
Global Currency
The dollar hovered near a two-week low against its peers on Tuesday as cautious comments by Federal Reserve officials over the global outlook and weak data at home raised questions over whether the U.S. central bank will slow down its rate increases.
The euro EUR was well bid in early Asian trade at $1.1456. The single currency has gained two percent versus the dollar over the last five trading sessions despite the ongoing standoff between the European Union and Italy over its free-spending budget, which breaks EU fiscal norms. The pound is seen likely to trade sideways until the market gets more clarity on progress in the Brexit deal.
Global Markets
Oil markets lost steam on Tuesday, giving back earlier gains, as a deteriorating economic outlook and a surge in U.S. production outweighed expected supply cuts by the Organization of the Petroleum Exporting Countries (OPEC). Oil prices are almost a quarter below their recent peaks in early October, weighed down by surging supply, especially from the United States.
Gold inched lower on Tuesday, trading in a tight range ahead of a U.S. holiday, but the metal held above the 1,220 level as the dollar was pressured by weak U.S. economic data and a clouded interest rate outlook.
