The Indian rupee little changed at 71.02 pair now at 71.02 against
71.14 previous close.
Pair to tip in 70.80-71.200 range today.
The Indian rupee rose against the dollar as U.S. President Donald
Trump’s remarks that he will delay a proposed increase in tariffs on
Chinese shipments helped boost appetite for Asian assets. Increased
hopes of a trade deal between the U.S. and China in near future
bolstered the risk appetite. However, crude oil prices above $65 per
barrel continue to remain a cause of concern and it is expected to
keep gains in the rupee capped.
Global Currency
The U.S. dollar was on track to snap a two-week winning streak
Friday after slipping against its rivals as a rebound from session lows
in the pound and dovish comments from the Federal Reserve vice
chairman weighed. The U.S. dollar index, which measures the
greenback’s strength against a trade-weighted basket of six major
currencies, fell 0.14% to 96.33.
Traders are also keeping an eye on trade developments, which are
going well, but still lack clarity on key issues, including intellectual
property and technology transfers, Reuters reported. The euro rose
due to the weaker dollar, with EUR/USD up 0.18% to 1.1352. The
pound recovered slightly after falling earlier in the session amid
news that a vote on a Brexit deal next week is unlikely.
Global Markets
Oil prices rose on Monday as Washington and China appeared to
edge closer to a trade deal, dampening fears over the outlook for
global economic growth. Brent crude oil futures were at $67.26 a
barrel, up 14 cents, or 0.2 percent, from their last close.
Gold is trading in the green despite US-China trade optimism,
possibly due to losses in the greenback. Trump raised hopes of a
breakthrough trade deal, sending risk currencies higher against the
US dollar - a preferred safe haven in 2018.
