Over the past couple of years, Morgan Stanley and Nomura have been building systems to comply with the Reserve Bank of India’s strict reporting norms, the people said.
Stock markets continued their record run with the benchmark BSE Sensex breaching the new milestone of 71,000. Heavy buying by foreign investors also boosted the rupee sentiment, forex dealers said.
Beyond smoothening trade with Russia and a few other countries in the near term, the long-term impact of trade settlement in rupee is hazy for now
The current account, which records the value of exports and imports of both goods and services along with international transfers of capital, was in a surplus mode both in the quarter-ago and year-ago periods.
This is its biggest fall since February 1, when it had lost 44 paise.
The pound sterling also finished lower at Rs 88.76/78 per pound
The trend in the US Labour market suggests the Fed is probably on track for a September tapering of its quantitative easing programme, says Nicholas Ferres of Eastspring.