9 C
New York
Sunday, December 3, 2023
spot_img

Rupee closes at 82.35 against dollar on persistent foreign fund inflows

[ad_1]


The appreciated by 53 paise to close at 82.35 against the US dollar on Friday, boosted by persistent foreign fund inflows and a weakening greenback overseas.


At the interbank foreign exchange market, the local unit opened at 82.85 and shuttled between 82.35 and 82.85 during the session.


It finally settled at 82.35 against the American currency, registering a rise of 53 paise over its previous close of 82.88.


Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, slipped 0.34 per cent to 112.54.


Global oil benchmark Brent crude futures rose 2.05 per cent to USD 96.61 per barrel.


“Euro and Pound too recovered on Friday from intraday lows as broader dollar retraced against its major crosses,” said Gaurang Somaiya, Forex & Bullion Analyst, Motilal Oswal Financial Services.


On Thursday, pound fell sharply against the US dollar after the Bank of England raised rates by 75 bps.


“We expect the USD-INR (Spot) to trade sideways and quote in the range of 82.50 and 83.30,” Somaiya added.


On the domestic equity market front, the 30-share BSE Sensex advanced 113.95 points or 0.19 per cent to end at 60,950.36, while the broader NSE Nifty gained 64.45 points or 0.36 per cent to 18,117.15.


Foreign Institutional Investors (FIIs) remained net buyers in the capital markets on Friday as they purchased shares worth Rs 1,436.25 crore, according to exchange data.


“The Indian appreciated… on positive domestic equities and weak US dollar. Strong Asian currencies also supported Rupee,” said Anuj Choudhary – Research Analyst at Sharekhan by BNP Paribas.


Asian currencies strengthened along with Asian stock markets amid speculation that China will relax its strict anti-COVID measures.


“We expect the to trade with a positive bias on the rise in risk appetite in global markets and a soft dollar today. However, a surge in crude oil prices may cap sharp gains,” Choudhary added.


According to Dilip Parmar, Research Analyst, HDFC Securities, rupee registered the biggest single-day gain after September 30 following strong regional currencies and risk-on sentiments supported by foreign fund inflows.


So far this week, foreign funds bought equities worth USD 1.76 billion as domestic equities gained following better economic data, he noted.


“In the near term, spot USD-INR is expected to consolidate in the range of 81.90 to 82.80. The overall outlook for the pair remains bullish as long as it trades above 81.90 while on the higher side psychological level of 83 remains the biggest hurdle for the time being,” Parmar added.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

[ad_2]

Source link

Related Articles

Stay Connected

0FansLike
3,912FollowersFollow
0SubscribersSubscribe
- Advertisement -spot_img

Latest Articles