Rupee Falls on Dollar Buying By Foreign Banks For Custodian Clients

Rupee Falls on Dollar Buying By Foreign Banks For Custodian Clients

19 Aug 2019 01:53 PM
 

Financial Market Overview

 19th August, 2019 

Afternoon Update

Indian Rupee

  • The Indian rupee turned lower against the dollar in afternoon session as foreign banks stepped up greenback purchases, likely for custodian clients.
  • The rupee was trading at 71.36 to a dollar, against 71.15 at previous close. The local unit opened at 71.17 and briefly rose to the day's high of 71.06 before sliding to 71.38.

Indian Equities

  • Indian equities followed their Asian peers higher on Monday, after reports of a potential stimulus package from Germany boosted sentiment across global markets.
  • The broader NSE index rose 0.75% to 11,130.25, while the benchmark BSE index was up 0.85% at 37,669.30.

Global Markets

  • Asian markets finished broadly higher today with shares in Hong Kong leading the region. The Hang Seng is up 2.14% while China's Shanghai Composite is up 2.10% and Japan's Nikkei 225 is up 0.71%.
  • European markets are higher today with shares in Germany leading the region. The DAX is up 0.95% while London's FTSE 100 is up 0.90% and France's CAC 40 is up 0.67%.
  • Crude oil prices rose following a weekend attack on a Saudi oil facility by Yemeni separatists and on hopes that trade tensions between the U.S. and China may ease. The benchmark Brent crude contract was up 1.13% at $59.30 per barrel.
  • This week, investors will get insights on the Fed’s thinking on interest rates. Minutes of the Fed’s July meeting and India’s MPC August meeting minutes are due on Aug. 21. Traders also await Fed Chair Jerome Powell’s speech on Aug. 23 at the annual central banking symposium in Jackson Hole, Wyoming.

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