Rupee ends flat at 74.83 per dollar
Rupee is broadly seen in range of 74.55-75.00 in coming sessions, says Jateen Trivedi, Senior Research Analyst (Commodity & Currency) at LKP Securities.
July 28, 2020 / 02:40 PM IST
Indian rupee ended flat at 74.83 per dollar in volatile trade, amid buying seen in the domestic equity market.
It opened marginally lower at 74.86 per dollar versus previous close of 74.83 and traded in the range of 74.71-74.90.
At 14:38 IST, the Sensex was up 535.50 points or 1.41% at 38470.23, and the Nifty was up 161.10 points or 1.45% at 11292.90.
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"Rupee ended little changed on Monday as overseas funds outflow from local stock coupled with oil bids offset the impact of dollar index falling to near two years low. Outflows and oil bids by late trade counteracted dollar trading at 2-year low. Rupee is broadly seen in range of 74.55-75.00 in coming sessions," said Jateen Trivedi, Senior Research Analyst (Commodity & Currency) at LKP Securities.
The dollar nursed losses on Tuesday, after slumping to a two-year low, as investors worry about the damage from the coronavirus to the US economy and await the latest outlook from the Federal Reserve and the passage of a new fiscal rescue package.
Oil prices rose for a third straight day on Tuesday, buoyed by support for demand coming from efforts to stimulate the US economy’s recovery from the coronavirus crisis and a weakening of the dollar that makes crude cheaper for global buyers.
Gold rocketed to record peaks at USD 1,975 on Tuesday while the US dollar plumbed two-year lows as investors wagered the Federal Reserve would reaffirm its super-easy policy outlook this week, and a tolerance for higher inflation.
Profit booking is clearly visible in the US$INR at higher levels. Looking at the declining Dollar index, we feel EM currencies would appreciate, ICICIdirect.
The dollar-rupee contract on the NSE was at 74.82 in the last session. The open interest fell 8.5% in the last session, it added.