Rupee Down On Corporate Dollar Demand; Shares Cap Fall

Rupee Down On Corporate Dollar Demand; Shares Cap Fall

22 May 2019 01:44 PM

Financial Market Overview

22nd May, 2019

Afternoon Update 

Indian Rupee

  • The Indian rupee fell against the dollar in choppy afternoon trade, as foreign banks stepped up greenback purchases likely for corporate clients. However, higher local shares ahead of the nation’s general election results tomorrow capped major fall in the currency.
  • The rupee changed hands at 69.74 to a dollar against 69.71 at the previous close. It opened at 69.67 and has traded in a narrow 69.63- 69.79 band so far.

Indian Equities

  • Indian shares opened higher on Wednesday led by financials, a day ahead of counting of votes in the general election, in which Prime Minister Narendra Modi is expected to retain power.
  • The broader NSE index was up 0.17% at 11,728.70, while the benchmark BSE index was 0.27 % higher at 39,075.87.

Global Markets

  • Asian markets finished mixed as of the most recent closing prices. The Hang Seng gained 0.14% and the Nikkei 225 rose 0.05%. The Shanghai Composite lost 0.49%.
  • European markets are mixed today. The FTSE 100 is up 0.49% while the DAX gains 0.03%. The CAC 40 is off 0.08%.
  • The dollar index jumped to a near four-week high yesterday tracking U.S. Treasury yields. The index was last trading 0.03% higher at 98.09.
  • Meanwhile, crude oil prices fell as supply concerns eased after Saudi Arabia reiterated its aim to keep the market balanced and try to reduce tensions in the Middle East, while industry data showed a surprise increase in U.S. crude inventories. The benchmark Brent crude oil was last trading 0.5% lower at $71.81 per barrel.