Rupee Extends Gains On Foreign Banks’ Dollar Sales, Oil

Rupee Extends Gains On Foreign Banks’ Dollar Sales, Oil

18 Sep 2019 02:01 PM

Financial Market Overview

 18th September, 2019 

Afternoon Update

Indian Rupee

  • The Indian rupee extended gains against the dollar in afternoon trade, on greenback sales by foreign banks and a retreat in crude oil prices.
  • The rupee was trading at 71.28 to a dollar, against its previous close of 71.78. The unit opened at 71.50 and rose to the day’s high of 71.24. The rupee was the top performing Asian currency for the day.

Indian Equities

  • Indian shares edged lower for a second straight session on Tuesday on fears that a surge in crude prices following attacks on Saudi oil facilities could hurt the economy further.
  • The broader NSE index was down 0.85% at 10,909.70 while the benchmark BSE index was 0.88% lower at 36,795.40.

Global Markets

  • Asian markets finished mixed as of the most recent closing prices. The Shanghai Composite gained 0.25%, while the Nikkei 225 led the Hang Seng lower. They fell 0.18% and 0.13% respectively.
  • European markets are mixed today. The CAC 40 is up 0.11% while the FTSE 100 gains 0.03%. The DAX is even.
  • The benchmark Brent crude contract fell 6.5% to $64.55 per barrel yesterday after Saudi Arabia said its crude-processing operations would return to normal by the end of September. The country’s energy minister said the kingdom had already restored 50% of lost production since the attacks, easing concerns oversupply. The contract was little changed at $64.49 per barrel.
  • Positive developments on the U.S.-China trade front, better risk appetite, uncertainty over oil prices, and a higher-than-expected August core U.S. inflation have contributed to traders reassessing their outlook of the Fed easing. The dollar index was last up 0.1% at 98.35.