The rupee settled at 70.19 against 70.17 at the previous close. The
local unit moved in 70.0350-70.5250 per dollar band intra‐day.
The Indian rupee was little changed against the dollar, as foreign
banks stepped up greenback sales likely for their custodian clients,
trimming early losses triggered from global risk aversion that
weighed on equities. The rupee has been dragged lower by a set of
negative news in the global markets, including concerns on
slowdown in global economic growth, which has made outlook for
regional assets bleak. However, some bunched‐up dollar inflows as
global markets reopened after New Year holidays and some
custodian inflows with foreign banks helped the rupee to recover
early losses.
Global Currency
The yen surged on Thursday as investors scrambled into the
perceived safety of the Japanese currency after a shock revenue
warning from Apple (NASDAQ:AAPL) exacerbated concerns about a
Chinese and broader global economic slowdown. The yen at one
point was 4.4 percent stronger versus the dollar after a flurry of
automated orders triggered a 'flash crash' in thin Asian markets. It
later stabilised but the yen remains on course for its biggest one‐day
rise in 20 months.
The dollar was down 0.3 percent against a basket of its rivals .DXY at
96.559 while the euro EUR=EBS rose 0.2 percent to $1.1368.
Global Markets
Oil prices fell slightly on Thursday amid volatile currency and stock
markets, coupled with concerns that an economic slowdown in 2019
will curb fuel demand just as crude supplies are surging.
Gold prices scaled a more than six‐month peak on Thursday as fears
of a global economic slowdown embellished safe-haven demand for
bullion, with a weaker dollar adding further support. U.S. gold
futures GCv1 traded up 0.5 percent at $1,289.90.
