Indian Rupee Closed Weaker Amid Risk Aversion And Importer's Dollar Demand

Indian Rupee Closed Weaker Amid Risk Aversion And Importer's Dollar Demand

18 Jan 2021 04:52 PM
 

Financial Market Overview 

Indian Rupee

  • Indian rupee closed weaker at 73.28/73.29, compared to 73.07/73.08 in the previous session, as the dollar index touched a near-one-month high amid risk aversion. Dollar demand from importers also weighed on the Rupee.
  • The benchmark 5.77% bond maturing in 2030 closed 0.22% higher at 98.64 rupees, yielding 5.96%, compared to 98.42 rupees and 5.99% yield at previous close, as the RBI will buy notes at an OMO this week, and possibly bought bonds from secondary market today.

Indian Equities

  • The benchmark BSE Sensex and the NSE index dropped for a second session and closed 0.96% and 1.06%, lower, respectively, amid heavy selloff in financial and technology sectors due to continued locking in of gains by investors.
  • Infosys, HDFC and ICICI Bank were among the top losers.

Global Markets

  • Asian markets closed mixed. The Hang Seng gained 1.01% and the Shanghai Composite rose 0.84% while the Nikkei 225 lost 0.97%.
  • European markets are trading lower with shares in France down as the CAC 40 drops 1.22%. The FTSE 100 is down 0.11% while the DAX in Germany is unchanged.
  • On the Wall Street, the S&P 500 fell 0.7% to 3,768.25, the Dow Jones Industrial Average lost 0.6% to 30,814.26, and the Nasdaq composite dropped 0.9% to 12,998.50.
  • Brent crude futures were off 0.6% at $54.58 a barrel, while U.S. crude eased 0.4% to $52.15.