Rupee gains for 2nd straight day; settles 27 paise higher at 73.51 against dollar

At the interbank forex market, the rupee opened at 73.62 and hit an intra-day high of 73.50 and a low of 73.76

The rupee gained for the second straight day and closed 27 paise higher at 73.51 (provisional) against the U.S. dollar on Friday, supported by positive domestic equities and weak American currency.

At the interbank forex market, the rupee opened at 73.62 and hit an intra-day high of 73.50 and a low of 73.76.

The local unit finally settled at 73.51, registering a gain of 27 paise over its previous close.

On Thursday, the rupee had settled at 73.78 against the American currency.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, fell 0.19% to 90.78.

According to Kaynat Chainwala – Fundamental Research Analyst Currencies, Anand Rathi Shares and Stock Brokers, the Indian rupee appreciated on Friday owing to a weaker dollar ahead of key U.S. jobs report and positive domestic equities.

"Rupee is likely to depreciate towards 74.25–74.5 as investors cautiously await release of domestic inflation, industrial production and trade balance figures due next week and second purchase for ₹35,000 crore under the G-SAP scheduled on May 20," Mr. Chainwala said.

On the domestic equity market front, the BSE Sensex ended 256.71 points or 0.52% higher at 49,206.47, while the broader NSE Nifty advanced 98.35 points or 0.67% to 14,823.15.

Foreign institutional investors were net buyers in the capital market on Thursday as they purchased shares worth ₹1,222.58 crore, as per exchange data.

Brent crude futures, the global oil benchmark, fell 0.16% to $67.98 per barrel.

Source: Read Full Article