India Rupee Ended At 3-Week Low On Likely RBI Intervention, Weak Equities

India Rupee Ended At 3-Week Low On Likely RBI Intervention, Weak Equities

21 Oct 2020 04:25 PM

Financial Market Overview

Indian Rupee

  • The Indian rupee fell to a three-week low against the dollar and was at 73.58/73.59 against 73.46/73.47 in the previous session, weighed down by persistent dollar purchases by state-run banks, likely on behalf of the central bank, to prevent a sharp appreciation in the local unit.
  • The benchmark 5.77% bond maturing in 2030 ended at 98.95 rupees, yielding 5.91%, against 98.81 rupees and 5.93% yield at the previous close, as traders anticipate more open market operations from the central bank going ahead.

Indian Equities

  • The benchmark BSE Sensex and the broader NSE index rose for the fourth straight session to end 0.4% and 0.34% higher, respectively, as risk sentiment in the region improved amid renewed hopes that an agreement on the U.S. relief package was imminent.
  • Financial stocks such as HDFC Bank, HDFC and ICICI Bank were the top gainers. The Sensex ended at its highest level in one week.

Global Markets

  • Asian markets finished mixed as of the most recent closing prices. The Hang Seng gained 0.75% and the Nikkei 225 rose 0.31%. The Shanghai Composite lost 0.09%.
  • European markets are mixed to lower. Shares in London are off as the FTSE 100 drops 1.11%. The DAX is down 0.78% while the CAC 40 in France is unchanged.
  • Dow e-minis were down 6 points, or 0.02%, S&P 500 e-minis were up 2.25 points, or 0.07%, and Nasdaq 100 e-minis were up 12.75 points, or 0.11%.
  • Brent crude futures for December delivery were at $42.66 a barrel, down 50 cents, or 1.16%, while December U.S. West Texas Intermediate (WTI) crude futures slipped 56 cents, or 1.34%, to $41.14.