Jul 16 2018

Rupee extends its losses on Dollar demand by Oil importers

Financial Market Overview

16th July, 2018

Noon Update:-                                                                                  

MARKETS AT Noon:-

Rupee:-

  • Indian rupee extended losses against the dollar in afternoon session amid lower-than-average trade volumes, on dollar purchases by state-run lenders, likely for oil importers. Weak risk appetite after the country’s June trade deficit widened to a five-year high also weighed on the currency.
  • India’s wholesale inflation grew 5.77 percent in June, a four-and-half year high, driven by some food items and fuel prices, latest price data released by the commerce and industry ministry showed. WPI witnessed a growth of 4.43 percent in May and 0.90 percent in June 2017.
  • The rupee was last seen at 68.68 to a dollar against 68.52 at previous close. It has moved between 68.52-68.71 to a dollar today.

Indian Equities:-

  • It has been a day of downtick on the indices, with Nifty trading well below 11,000-mark. Pharmaceutical names have extended their fall, with the Nifty Pharma index down 3.5 percent, while metals, PSU banks, and energy names continuing to bleed.
  • The Sensex is down 120.17 points or 0.33% at 36421.46, and the Nifty is off 59.85 points or 0.54% at 10959.05.

Global Markets:-

  • Asian markets finished lower today. The Shanghai Composite closed down 0.61% and Hong Kong’s Hang Seng off by 0.05%.
  • European markets are mixed today. The Germany’s DAX is up 0.13% , France’s CAC40 is up 0.05% while the London’s FTSE 100 is off 0.14%.
  • The dollar index, measured against a basket of currencies, was 0.2% lower at 94.61. The index slipped about 0.06% in the previous session even as the U.S. central bank’s semi-annual report to the Congress reiterated that it “expects that further gradual increases” in interest rates amid “solid” growth in the first half of the year.