Rupee Closed At 74.67; State Run Banks Bought Dollars

Rupee Closed At 74.67; State Run Banks Bought Dollars

06 Jul 2020 04:23 PM

Financial Market Overview

Indian Rupee

  • The Indian rupee was at 74.67/74.68 against the dollar versus 74.6300/74.6400 in the previous session as state-run banks bought the U.S. currency, likely on behalf of the Reserve Bank of India to build up its foreign exchange reserves, traders said.
  • The benchmark 5.79% bond maturing in 2030 ended at 99.65 rupees, yielding 5.84%, against 99.58 rupees and 5.85% yield at the previous close, as market participants looked forward to more steps from the central bank to help absorb the heavy supply of notes in coming days.

Indian Equities

  • The Sensex ended 466 points higher at 36,487 and Nifty 50 index climbed 156 points to close at 10,764.
  • Rally in today's session was powered by gains in heavyweights like Reliance Industries, HDFC Bank, Tata Consultancy Services, Bajaj Finance and Mahindra & Mahindra. These stocks collectively contributed over 400points towards gain in the Sensex.

Global Markets

  • Asian markets closed sharply higher today with shares in China leading the region. The Shanghai Composite is up 5.71% while Hong Kong's Hang Seng is up 3.95% and Japan's Nikkei 225 is up 1.83%.
  • European markets are sharply higher today with shares in London leading the region. The FTSE 100 is up 1.97% while Germany's DAX is up 1.86% and France's CAC 40 is up 1.83%.
  • Major currencies have been largely rangebound with the dollar index down 0.3% at 96.894, having spent an entire month in a snug band of 95.714 to 97.808.
  • Oil prices were mixed with Brent crude futures up 1.87% at $43.58 a barrel, while U.S. crude gained 0.84% to $40.99 amid worries the surge in U.S. coronavirus cases would curb fuel demand.