Rupee falls as dollar demand offsets gain from Fed dovish stance

Rupee falls as dollar demand offsets gain from Fed dovish stance

11 Jan 2019 01:57 PM

Financial Market Overview

11th January, 2019

Noon update

Indian Rupee:-

  • The Indian rupee was trading lower against the dollar as greenback demand from state banks, likely on behalf of importers, eroded early gains triggered by dovish comments from Federal Reserve Chief Jerome Powell.
  • The rupee changed hands at 70.51 to a dollar, against 70.4125 at yesterday’s close. It opened little changed at 70.42 and has so-far fallen to the day’s low of 70.54.

 Indian Equities:-

  • Indian shares have turned negative, dragged down by losses in IT giant Tata Consultancy Services after it reported October-December results yesterday. Infosys also fell ahead of its quarterly results today.
  • The benchmark BSE Sensex is down 0.54% at 35,912.66, and the broader NSE Nifty is down 0.52% at 10,764.85. 

 Global Markets:-

  • Asian markets finished higher as of the most recent closing prices. The Hang Seng gained 0.41%, while the Nikkei 225 and the Shanghai Composite rose 0.97% and 0.74% respectively.
  • European markets are higher today. The CAC 40 is up 0.21% and London's FTSE 100 is up 0.36% while Germany's DAX is up 0.23%.
  • The benchmark Brent crude oil contract rose to $61.91 per barrel overnight, highest since Dec. 13, but came off to trade at $61.82 today.
  • The dollar index was trading 0.2% lower at 95.37, erasing overnight gains of 0.3%, after Federal Reserve Chairman Jerome Powell said that tepid inflation allowed the Fed flexibility on interest rates.
  • Investors now await U.S. consumer inflation data due today. Economists expect consumer prices to have risen by 1.9% in December, slower than the 2.2% in the prior month.





Date : 11-Jan-2019

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