The rupee is performing comparatively well in the month of November. The special thing is that the rupee has reached a high of three weeks. In the current month, the rupee is witnessing a rise of 25 basis points. Whereas in the current year, the rupee has seen a decline of more than 3.50 percent against the dollar. If we talk about Wednesday, the main reason for the rise in rupee is the fall in crude oil prices. At the same time, foreign and foreign investors have also recently invested in the stock market.
The rise in rupee is also important because an increase is being seen in the dollar index. Further increase in the dollar index may be seen in the coming days. If experts are to be believed, the Federal Reserve may press the pause button on interest rates in the coming days. Due to which there may be a rise in the dollar index and a fall in the prices of crude oil. The benefit of which can be seen in the increase in rupee. Let us also tell you at what level the rupee is trading against the dollar.
Rupee rose
The rupee rose 9 paise to 88.51 against the US dollar in early trade on Wednesday. This was possible due to low crude oil prices, while fluctuations in stock markets around the world affected investor sentiment. Foreign currency traders said that along with the strong American currency, there was pressure on the rupee due to the withdrawal of foreign capital from the domestic stock markets. Also, investors were concerned about the progress on the proposed India-US trade deal and domestic PMI data to be released later this week. In the Interbank Foreign Currency Exchange market, the rupee opened at 88.57 and reached 88.51 against the dollar in early trade, which was 9 paise higher than the previous closing level. On Tuesday, the rupee had closed at 88.60 against the US dollar, down by 1 paise.
Fall in crude oil prices
- Meanwhile, the dollar index, which measures the dollar’s strength against six currencies, was trading 0.04 percent higher at 99.49.
- Global oil benchmark Brent crude fell 0.34 percent to $ 64.67 per barrel in futures trade.
- In the domestic stock market, Sensex fell 46.27 points or 0.05 per cent to 84,626.75 in early trade, while Nifty fell 8.35 points or 0.03 per cent to 25,901.70.
- According to exchange data, foreign institutional investors sold shares worth Rs 28.82 crore from the stock market on Tuesday.
Agreement may be reached soon
Commerce and Industry Minister Piyush Goyal on Tuesday said “you will hear a good news” on the proposed trade deal between India and the US when the deal is fair, equitable and balanced. The comments come days after US President Donald Trump said the US is “very close” to reaching a “fair trade deal” with India, and also said he would reduce tariffs imposed on Indian goods “at some point”.