Jun 28 2018

Rupee slumps to a fresh record low, breached 69 mark

Financial Market Overview

28th June, 2018

Morning Coffee:-                                                                                  

MARKETS AT OPEN:-

Rupee:-

  • Indian rupee opens to fresh record lows against the dollar at 68.89, weighed by the rally in benchmark U.S. crude oil prices to their highest level in three-and-a-half years and further weakness in the Chinese yuan. The rupee had touched its previous record low of 68.8650 per dollar on Nov. 24, 2016. Pair USDINR now at 69.05 against 68.61 previous close.
  • We expect the pair to tip in range between 68.80-69.15 today.

Indian Equities:-

  • The market opens mildly lower, nifty is trading below 10650  ahead of expiry of June futures & options contracts.
  • The 30-share BSE Sensex is down 68.37 points to 35,148.74 while the 50-share NSE Nifty fell 31.50 points to 10,639.90.

Global Markets:-

  • Asian equities are higher today. The Hong Kong’s Hang Seng gains 0.58%, the Shanghai Composite is up 0.35% while the Australian’s ASX200 is trading higher by 0.14%.
  • European markets finished broadly higher today with shares in London leading the region. The FTSE 100 is up 1.11% while Germany’s DAX is up 0.93% and France’s CAC 40 is up 0.87%.
  • US. stocks ended lower on Wednesday, reversing earlier gains on renewed uncertainty regarding the U.S. stance on Chinese investments in American technology companies. Based on the latest available data, the Dow Jones Industrial Average fell 165.52 points, or 0.68 percent, to 24,117.59, the S&P 500 lost 23.43 points, or 0.86 percent, to 2,699.63, and the Nasdaq Composite dropped 116.54 points, or 1.54 percent, to 7,445.09.
  • The Chinese currency dropped 0.2% to 6.61 against the dollar, headed for its sixth day of losses. It is down 1.6% this week, poised for its biggest decline in three years. The losses this week have come as trade tensions between the U.S. and China have ratcheted higher amid a plan by Washington to restrict Chinese investments into U.S. technology companies. Among other Asian currencies, the Korean won gains 0.10% and the Malaysian ringgit declined 0.15% while the Indonesian rupiah lost 0.72%.