ZCZC
BCN-14
INDIA-RUPEE-USD-WEEKLY
Rupee zooms 55 paise to 73.57; marks biggest jump in over 3 weeks
Mumbai, Oct 13, 2018 (BSS/PTI) – Rising for the third straight day, the
rupee strengthened by 55 paise to settle at 73.57 against the US dollar
Friday, marking its biggest gain in over three weeks as global crude prices
eased and domestic indices staged a smart rebound.
Steps taken by the government to curb non-essential imports and anticipation
of more measures to attract foreign inflows have boosted sentiment in the
market, traders said.
The government Thursday hiked the import duty on certain communication items,
including base stations, to up to 20 per cent as part of efforts to check a
widening current account deficit and shore up the rupee.
At the Interbank Foreign Exchange (Forex), the rupee opened on a strong note
at 73.84 from Thursday’s close of 74.12. It gained further ground to hit a
high of 73.52 against the US dollar, driven by selling of the greenback by
exporters and banks and easing crude oil prices.
The domestic unit finally settled for the day at 73.57, up by 55 paise. This
is its biggest gain since September 19, when it had jumped 61 paise.
According to Rohit Srivastava, Fund Manager PMS, Sharekhan by BNP Paribas,
there is “expectations that the government will take action on the weak
rupee”.
Forex dealers said bullish trend in the equity market as well as easing crude
oil prices also supported the rupee’s upward movement.
Brent crude was trading at USD 80.65 per barrel.
The International Energy Agency on Friday revised lower its growth forecast
for global oil demand for 2018 and 2019, citing high prices, trade tensions
and a less favourable economic outlook.
Meanwhile, the BSE Sensex Friday posted its biggest single-day gain in 19
months, soaring over 700 points, as global markets rebounded after two
straight sessions of losses.
The BSE Sensex settled up by 732.43 points, or 2.15 per cent, at 34,733.58.
The broader Nifty ended the week at 10,472.50, up 237.85 points, or 2.32 per
cent.
Foreign investors net sold shares worth Rs 1,322.13 crore Friday, provisional
data showed.
The Financial Benchmark India Private Ltd (FBIL) set the reference rate for
the dollar at 73.7967 per dollar. The reference rate for euro was fixed at
85.5545 and for the British pound at 97.6537. The reference rate for 100
Japanese yen was 65.67.
BSS/PTI/HR/1035