The rupee settled at 73.95 against 73.6750 at the previous close. The local unit moved in 73.7875-74.14 per dollar band intra-day.
The Indian rupee fell against the dollar for a seventh month in October and logged its largest losing streak in 18 years, hurt by foreign fund outflows from local and other emerging markets on risk aversion amid expectations of more interest rate hikes from the U.S. Federal Reserve. However, a recent decline in crude oil prices and likely interventions from the central bank limited the rupee’s fall.
Global Currency
The dollar rose to its highest levels in more than a year on Wednesday as dovish comments by the Bank of Japan and weak data from China reinforced the dollar attractiveness as an investment destination. The Japanese yen edged lower against the dollar on Wednesday after the Bank of Japan signaled it was a long way off from exiting crisis-era stimulus, while the dollar scaled 16-month highs versus its key rivals on continued strength in the U.S. economy.
The sterling held close to its mid-August lows, hovering at $1.2705, after credit ratings agency Standard & Poor's said a 'no-deal' Brexit would be likely to tip Britain into a recession on Tuesday. immediate catalysts for the sterling traders could come from the Bank of England's monetary policy meeting on Thursday.
Global Markets
Oil prices rose more than 1 percent on Wednesday as markets braced for the imposition of U.S. sanctions on Iran next week and as stock markets clawed back some of their recent losses.
Gold prices fell to a more than two-week low on Wednesday as equities gained and the dollar touched multi-month highs after upbeat economic data indicated a robust U.S. economy. The yellow metal remained on track to end a run of six straight monthly losses.
