India Rupee Falls On Poor Risk Sentiments; RBI Revises FPI Limit

The Indian rupee little changed at 69.11 pair now at 69.00 against 68.87 previous close.
Pair to tip in 68.80-69.20 range today.
The Indian rupee fell against the dollar in early trade, as increasing concerns about global growth slowdown weighed on investors’ appetite for risk assets. Rupee gave up some of its losses in early trade on dollar sales by foreign banks, while RBI’s move to increase foreign investment limit in bonds is also seen in favour of the local unit. Importers’ demand for the greenback may keep the rupee under pressure.

The dollar rose on Thursday as many of its peers weakened after more central banks opted to shift to a dovish policy stance in the wake of deteriorating economic prospects. The dollar index against a basket of six major currencies was 0.17 percent higher at 96.942 .DXY and headed for its third day of gains.
The euro was a touch higher at $1.1252 EUR= . The single currency has still lost 0.45 percent this week with the benchmark 10-year bund yield having fallen to 2-1/2-year low of minus 0.09 percent. The euro's upside was limited after European Central Bank President Mario Draghi said a hike in interest rates could be further delayed.

Oil prices slumped on Wednesday after government data showed U.S. crude inventories grew more than expected last week as a Texas chemical spill hampered exports. Crude exports fell by 506,000 barrels per day, the EIA said.
Gold prices rose on Wednesday to their highest level in around a month as investors continued to focus on fears of a possible recession in the United States. Meanwhile, spot gold was trading at $1,317.15 per ounce, up $1.41, or 0.1%.

Research