Rupee vs Dollar: The Indian rupee, which is facing constant pressure, got some relief on Tuesday. Amid fall in crude oil prices in the international market, the rupee strengthened by 21 paise to reach 88.56 per dollar. However, withdrawal of foreign capital and strengthening of the dollar still remain a challenge for the rupee.

Why did the rupee strengthen?

Dilip Parmar, Senior Chief Analyst, HDFC Securities, said that on Monday, the rupee was under pressure from the weakness of regional currencies and foreign dollar withdrawal, but due to the intervention of RBI, the situation calmed down to some extent. On Tuesday, fall in crude oil prices and signs of some improvement supported the rupee.

The rupee opened at 88.55 per dollar in the interbank foreign exchange market. It touched 88.56 per dollar in early deals – an increase of 21 paise over its previous close. On Monday, the rupee had closed at 88.77 per dollar.

movement of dollar and crude oil

The dollar index (the position of the dollar against six major currencies) rose by 0.04% to 99.75. Brent crude (the international standard) is trading 0.32% lower at $ 64.68 per barrel. This fall in crude oil is a relief for India because the country imports about 85% of its oil needs.

BSE Sensex fell 55 points to 83,923.48 and NSE Nifty fell 40.95 points to 25,722.40. FIIs (foreign institutional investors) made a net sale of shares worth Rs 1,883.78 crore on Monday. According to analysts, major economic data like ISM Manufacturing and Non-Manufacturing PMI are going to come from America this week, which will decide the sentiment of global markets and the direction of currency exchange rates.

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Rupee vs dollar: Despite the rise in crude oil prices with a slight decline in the dollar index, the Indian rupee strengthened against the dollar. The rupee strengthened 5 paise to close at 85.27 on Thursday after closing at 85.42 against the dollar on Wednesday. According to Bloomberg’s data, the rupee fell 17 paise to 85.59 against the dollar during trading during the day.

Dollar yield also declined

According to experts, after the terrorist attack in Pahalgam in Jammu and Kashmir, there was a weakness in the rupee at the beginning of the day due to increasing geopolitical tension. According to Moneycontrol report, Dilip Parmar, research analyst of HDFC Securities, says that the dollar has declined due to geopolitical uncertainty. The dollar yield has also declined. In the US, 10 year bond yield 3 basis points decreased to 4.35 percent. Meanwhile, the dollar index, depicting the US dollar position against six major currencies, fell 0.46 percent at 99.38 at 3:40 pm.

Foreign investors shop fiercely

At the global level, the hope of reducing the 240 percent tariff of Trump on China on China went into cold storage when American Treasury Secretary Scott Besant said that Trump is not going to reduce unilateral tariffs. Foreign portfolio investors continued to buy shares for the sixth consecutive day on Wednesday. Global Funds bought shares worth Rs 3,332.93 crore, which crossed the four -day purchase of Rs 21,200 crore.

Crude oil price

During this period, the price of Brent crude oil rose by 0.45 percent to $ 66.42 per barrel, while WTI crude rose 0.64 percent to $ 62.67 per barrel.

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Stock Market News: The US market has seen a boom. However, Gift Nifty indicated a starting to start with sluggish to sluggish weakness after overnight in the US markets. US President Donald Trump has announced that he will not remove the president of the Federal Reserve. Apart from this, in Wall Street, there is also a boom due to the expectations of reduced tariffs on China.

Earlier on Wednesday, the NSE Nifty-50, 182 points, increased to 0.67% to close at 24,329, while the BSE Sensex increased 521 points, or 0.65% to 80,117.

Asian Market

If we talk about Asian markets, then the American stock market has seen a boom due to positive signals. Japan’s Nikkei 225 saw an increase of 0.96 percent and it reached 35,204. However, South Korea’s Kopy has declined by 0.55 percent and fell to 2,511.83. While the Hangcand’s Hengseng Index traded at 22,072. China’s index was trading at Shanghai Composite 3,296.

American market

The US stock market is in positive expectation from the signs of decreasing business tension between American and China. Apart from this, President Trump has said that he has no intention of removing Federal Chief Jerome Powell. After its positive trend, Dow Jones Industrial Average climbed 419.59 points i.e. 1.07 percent to 39,606.57.

The S&P 500 saw an increase of about 1.67 percent and it came to 5,375.86. While Nasdaq Composite rose 2.50 percent to close at 16,708.05.

US dollar

The US Dollar Index (DXY), which assesses the price of dollar compared to six foreign currency, declined by 0.11 percent on Thursday morning, it was at 99.77. The index decides whether the dollar is weak or strengthened compared to the major currency. In the currency of these six countries, British Pond, Euro, Swidish Krona, Japan’s Yen, Swiss Frank etc. On April 23, the rupee has declined by 0.25 percent and it reached 85.42.

Gold prices fall

Here, on Thursday, there has been a decline in the international market in the price of gold. The spot gold has fallen by 3 percent to $ 3281.6 an ounce. While the US Glod Future has come down by 3.7 percent and it is being sold at the rate of $ 3294.10 an ounce.

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