The Indian rupee little changed at 71.36 pair now at 71.40 against
71.18 previous close.
Pair to tip in 71.20- 71.60 range today.
The Indian rupee fell to an over one-month low against the
greenback in early trade, tracking higher crude oil prices and a rally
in the dollar index to a two-week high. A surge in crude oil prices is
the prime reason weighing on the rupee. Further slowdown in China
economy has added to fragile sentiments in the region. Exporters are
expected to sell dollars, while volumes may take a hit during the
session as U.S. is closed for a holiday.
Global Currency
The dollar held steady near a two-week high against a basket of
currencies on Monday, as investor risk appetite held up despite the
latest data showing China's 2018 economic growth slowing to a near
three-decade low.
Sterling had climbed to a two-month peak of $1.3001 on Thursday
on growing confidence that Britain can avoid leaving the European
Union without a deal, but faced profit-taking on Friday. GBP. The
pound is at current levels based on assumption that a no deal Brexit
has been avoided. But even an exit with a deal will likely leave some
damage on the economy, so it is difficult to see the pound make
much further headway from here.
Global Markets
Oil prices rose to their highest for 2019 on Monday after data
showed refinery processing in China, the world's second-largest oil
consumer, climbed to a record in 2018, despite a slowing economy
last year. International Brent crude oil futures LCOc1 were at $62.94
per barrel.
Gold tends to gain on expectations of lower interest rates, as they
reduce the opportunity cost of holding non-yielding bullion. Lower
interest rates also tend to weigh on US yields and the dollar.
