Rupee extends recovery, up over 1% on falling crude prices
USD-INR pair is expected to quote in the range of 73.05 and 73.60, says Motilal Oswal.
November 02, 2018 / 03:38 PM IST
Falling crude oil prices and a weaker dollar boosted the Indian rupee. It climbed over 1 percent on Friday and is trading higher by 95 paise at 72.50 per dollar versus previous close 73.45.
The rupee slipped below 73 mark for the first time since October 1.
Rupee surged following broad weakness in the dollar and sharp fall in global crude oil prices. Crude fell to the lowest level since April, due to growing concerns that global demand is weakening at a time when output from the world’s major oil producers is surging. Oil has also been under pressure on growing concern over a possible slowdown in global growth as the US- China trade dispute remains unresolved, and is starting to hit emerging market economies in particular, said Motilal Oswal
The US Energy Department said overall US crude output hit a record 11.35 million barrels per day in August, and it is expected to keep growing. Today, USD-INR pair is expected to quote in the range of 73.05 and 73.60, it added.