The rupee settled at 70.07 against 70.1350 at the previous close. The
local unit moved in 69.7550-70.16 per dollar band intra‐day.
The Indian rupee rose against the dollar tracking a plunge in crude oil
prices to multi‐month lows and as local shares rebounded in the
latter half of the session. Although rupee got a boost from crash in
crude oil prices, month‐end dollar demand kept the gains limited in
local currency for the day. The volumes were muted as holiday mood
continued. ny development on the U.S. political uncertainty front will
influence market movement going ahead.
Global Currency
The U.S. dollar edged higher against the other major currencies on
Wednesday, with activity likely to stay subdued as many global
markets remained closed for the Christmas holiday. Markets in
Britain, Germany and Hong Kong are all closed, resulting in muted
trading volumes.
The euro and the British pound tacked on 0.2 percent each, changing
hands at $1.1415 and $1.2705, respectively. The Australian dollar
added 0.1 percent to fetch $0.7043. Over recent months the dollar
has struggled to shake off a growing list of bearish factors, led most
recently by speculation over the outlook for U.S. interest rates,
falling bond yields and the plunge in oil prices.
Global Markets
Oil edged up to $51 a barrel on Wednesday after reaching its lowest
since June 2017 on perceptions that a price slide prompted by
worries over the global economy had been overdone amid an OPECled
effort to tighten supply. U.S. crude (CLc1) was up 74 cents at
$43.27.
The partial U.S. government shutdown and growing worries of a
global recession seem to be taking gold slowly but more surely
toward the $1,300 per ounce level targeted by precious metals bulls.
The precious metal hit a six‐month high of $1,273.90
