The rupee depreciated 16 paise to shut at 86.87 (provisional) towards the U.S. greenback on Monday (February 17, 2025), weighed down by vital international fund outflows and a restoration within the U.S. greenback index from intraday lows.
Foreign exchange merchants stated the Indian rupee is buying and selling with a detrimental bias as international banks went on a dollar-buying spree and importers scrambled to safe {dollars}, as they feared additional depreciation amid international uncertainty.
On the interbank international alternate, the rupee opened at 86.70 and touched the excessive of 86.68 towards the buck throughout intraday. It additionally touched the low of 86.88 earlier than ending the session at 86.87 (provisional) towards the greenback, logging a lack of 16 paise from its earlier shut.
On Friday (Feb. 14), the rupee prolonged its restoration and settled 21 paise larger at 86.71 towards the U.S. greenback.
“Indian rupee declined at this time on a weak tone within the home markets and a restoration within the U.S. greenback index from intraday lows. Nonetheless, weak tone in crude oil costs and a decline in U.S. treasury yields cushioned the draw back,” stated Anuj Choudhary – analysis analyst at Mirae Asset Sharekhan.
Merchants could take cues from speeches by Federal Open Market Committee (FOMC) members.
“We anticipate the rupee to commerce with detrimental bias amid weak point within the home equities and FII outflows. General energy within the U.S. greenback can also weigh on the rupee. Nonetheless, any additional decline within the U.S. treasury yields or any additional intervention by the RBI could assist the rupee at decrease ranges,” Mr. Choudhary added.
In the meantime, the greenback index, which gauges the buck’s energy towards a basket of six currencies, was buying and selling 0.14% larger at 106.85.
Brent crude, the worldwide oil benchmark, rose 0.12% to $74.83 per barrel in futures commerce.
Within the home fairness market, the 30-share BSE Sensex superior 57.65 factors, or 0.08%, to settle at 75,996.86, whereas the Nifty rose 30.25 factors, or 0.13%, to 22,959.50 factors.
International institutional traders (FIIs) offloaded equities value ₹4,294.69 crore within the capital markets on a internet foundation on Friday (Feb. 14), in response to alternate information.
In the meantime, India’s foreign exchange reserves jumped by $7.654 billion to $638.261 billion within the week ended February 7, the RBI stated on Friday (Feb. 14).
That is the third consecutive week of a soar within the kitty, which had elevated by $1.05 billion to $630.607 billion for the week ended January 31.
Revealed – February 17, 2025 04:21 pm IST
