Indian Rupee ends at record low for the 6th day in a row

Indian Rupee ends at record low for the 6th day in a row

05 Sep 2018 05:58 PM
Myforexeye Research Report
Financial Market Overview

05th September, 2018

Evening Coffee:-                                                                                  



  • Rupee continued its downtrend to end at a record low for a sixth day against the dollar, as persistent sell-off across other emerging market peers prompted fears of foreign fund outflows from Asia’s third largest economy.
  • The rupee, which logged its worst declining streak since April, ended at 71.75 to a dollar, amid greenback purchases by state-run and foreign banks, against 71.58 at close yesterday. It briefly rose to 71.37 although the gains were short-lived, with the currency plunging to 71.97 intraday. However, the pace of depreciation slowed after a handful of state-run banks stepped in to sell dollars, which could have been on behalf of the Reserve Bank of India.

Indian Equities:-

  • Indian shares finished lower on Wednesday, with the BSE index posting its sixth straight session of losses, as the rupee fell to a new low.
  • The BSE index fell 0.37 percent to 38,018.31, while the broader NSE index was 0.38 percent lower at 11,476.95.
  • Conglomerate Reliance Industries Ltd, down 1.2 percent, was the top drag on the index. Consumer goods maker Hindustan Unilever Ltd dropped 2.4.

Global Markets:-

  • European markets are lower today. The France's CAC40 is down 0.84%, the Eurozone's STOXX50 is lower by 0.63%, the Germany's DAX fell by 0.56%, the SMI is off 0.38% , the London's FTSE is down 0.39% and the Spain's IBEX35 fell by 0.25%.
  • The benchmark Brent crude oil price was down 1.05% at $77.35 per barrel, as the impact from tropical storm on the U.S. Gulf post was weaker than expected. Prices rose as much as 2% to $79.72 yesterday, within striking distance of the crucial $80-mark..
  • The seasonally adjusted Nikkei India Services Business Activity Index, fell from July's peak of 54.2 to 51.5 in August owing to weakest growth in new work in three months. In PMI parlance, a print above 50 means expansion, while a score below that denotes contraction.
  • Euro zone business activity picked up a bit last month. IHS Markit's Euro Zone Composite Final Purchasing Managers' Index (PMI), seen as a healthy guide to economic boost, nudged up in August to 54.5 from July's 54.3, just above an earlier flash estimate of 54.4. Anything above 50 indicates growth. Activity in the UK service sector accelerated last month, boosting the outlook for third quarter growth. Research firm Markit said its services purchasing managers’ index rose to54.3in August from 53.5 in July, compared to forecasts for a reading of 53.9.



Date : Sep-2018