USD/INR ends down on likely FII inflows into local stocks, improved risk-appetite

The rupee settled at 71.27 against 71.40 at the previous close. The local unit moved in 70.8475-71.3775 per dollar band intra-day.
Dollar/rupee ended lower Wednesday on likely overseas inflows into local stocks amid improved risk appetite following the US President Donald Trump's decision to delay additional tariffs on some Chinese goods. Overseas investors injected funds in local equities. Also sentiments improved after US announced a delay in imposition of additional tariffs on few Chinese goods. Dollar/rupee ended at Rs 71.27/$1 Wednesday compared to previous close of Rs 71.40/$1.

China's offshore yuan gave up some of its earlier gains on Wednesday as weaker-than-expected economic data tempered the optimism generated by a U.S. decision to delay tariffs on Chinese imports. The enthusiasm ebbed more broadly, as well. The safe-haven Japanese yen strengthened again, a sign that risk appetite remains fragile. The yen fell on Tuesday after the U.S, announcement.
The euro was flat at $1.1180 despite weaker second-quarter German gross domestic product data. Moreover, the year-on-year figure was higher than economists polled by Reuters predicted. Traders are waiting for the first estimate of eurozone GDP data, due at 0900 GMT.

Oil prices fell on Wednesday on disappointing economic data from China and Europe and a rise in U.S. crude inventories, partly erasing the previous session's sharp gains after the United States said it would delay tariffs on some Chinese products.
Gold steadied near the key $1,500 level on Wednesday, finding support after economic data raised fears of a global recession. The precious metal, seen as a safe haven during times of economic turmoil.

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