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Foreign Institutional Investors (FIIs) bought equities worth ₹599.54 crore on a net basis on Friday. | Photo Credit: iStockphoto Reversing its early gains, the rupee closed lower by 7 paise at 95.96 against the US dollar on Friday amid a strong American currency and high crude oil prices.Positive momentum in domestic equity markets and forex inflows, however, capped losses in the Indian currency, forex traders said.At the interbank foreign exchange market, the rupee opened at 95.75 and touched the intraday high of 95.71 in the first half. Later, the rupee came under pressure, closing at the day’s low of 95.96…

The dollar jumped against the yen on Friday after two policymakers at the Bank of Japan dissented from a widely expected decision to raise interest rates, raising doubt among traders about the likelihood of further hikes.The dollar pared gains after Japanese authorities conducted rate checks in the currency market – considered a preliminary step before intervention – the Nikkei newspaper reported.The BOJ pushed rates to their highest level in 31 years at 1.25%, yet the move did not boost the Japanese currency as traders felt there was a lack of explicitly hawkish guidance.The decision, coming on the heels of the…

The Indian rupee Friday broke its week-long losing streak amid reported dollar sales by the Reserve Bank of India (RBI) and a mild retreat in oil prices.The currency closed at 95.87, versus its previous close of 95.93, while Brent crude oil prices fell to nearly $101 per barrel during the day, according to Reuters.The currency traded in the range of 95.91 and 95.70, while a firm dollar index at 101.3 and importer demand for the US currency prevented the rupee from gaining significantly, traders said.The currency has weakened 1.05% so far this fiscal, and the pace of its decline has…

India’s foreign exchange reserves declined in the week ended September 11, suggesting that most FCNR(B) inflows awaiting conversion with the Reserve Bank may have already been swapped, analysts said.Forex reserves decreased by $4.9 billion to $780.7 billion, after reaching a peak of $785 billion in the previous week. The fall in reserves comes as valuation of gold reserves decreased by $2.6 billion to $111.2 billion, and foreign currency assets decreased by $2.4 billion to $645.7 billion.The decrease in foreign currency assets is likely because the Reserve Bank of India sold dollars in the spot market to prevent the rupee from…

OCBC strategist Christopher Wong highlights that Taiwan’s CBC kept its policy rate at 2% for a tenth straight quarter with a mildly hawkish tone, sharply raising 2026 growth and inflation forecasts while flagging sticky services inflation. However, the bank stresses that near-term USD/TWD direction will be driven more by foreign equity flows, tech sentiment and the broader USD move than policy.Policy support versus equity flows”TWD held broadly steady despite the post-FOMC USD strength, helped by a rebound in domestic equities and a return of foreign equity inflows after five straight sessions of selling.””Taiwan’s CBC kept its policy rate unchanged at…

Commerzbank’s Charlie Lay and Henry Hao report that Taiwan’s CBC kept its policy rate at 2.0% for a tenth straight meeting, signalling a patient stance. The bank slightly raised its 2026 inflation and GDP forecasts, sees strong growth from AI-related semiconductor demand, and suggests policy could stay unchanged in December but start hiking in Q1 2027 if price pressures persist.Neutral stance with upside risks”The Central Bank of the Republic of China (CBC) left its policy rate unchanged at 2.0% yesterday, in line with market expectations. The CBC, which meets quarterly, has now kept the policy rate unchanged for 10 consecutive…

OCBC strategist Christopher Wong notes that the Korean Won remains under pressure as foreign selling of Korean equities persists and elevated US yields after the FOMC continue to weigh. Large-cap technology stocks are at the centre of outflows, though the broader KOSPI has held up. Wong highlights that easing US yields, a softer Dollar and lower Oil may cap near-term USD/KRW upside, but a sustained KRW recovery likely needs foreign equity selling to slow.Flow pressure weighs as USDKRW tests resistance”KRW weakened further as persistent foreign selling of Korean equities remained the main drag, while still-elevated US yields post-FOMC continued to…

Scotiabank strategists Shaun Osborne and Eric Theoret note the Japanese Yen (JPY) is down sharply versus the US Dollar (USD) after a dovishly delivered 25 bps Bank of Japan (BoJ) hike and Governor Ueda’s cautious guidance. Markets are disappointed by the pushback against consecutive hikes, undermining efforts to rebuild confidence in the Yen. For USD/JPY, they flag key moving averages near 158–159 and the psychologically important 160 level, with support around 155.Yen slides as markets fade BoJ”The yen is weak, down 1.2% vs. the USD on the back of a dovishly-delivered hike from the BoJ as market participants digested a…

OCBC’s Christopher Wong highlights that Singapore’s August NODX surged 46.2% year-on-year, far above consensus, with electronics exports jumping on AI-related demand and broad-based strength across markets. OCBC Economists upgraded their 2026 NODX forecast to 20% year-on-year, but Wong notes this solid external backdrop is unlikely to drive spot near term. USD/SGD has eased with lower US yields and a softer Dollar, and future SGD performance will hinge on US yield and Dollar dynamics.USD/SGD guided by yields and Dollar”August NODX jumped 46.2% y/y, well above the 35.3% consensus and up sharply from 24.1% in July. Electronics exports surged 131.8%, led by…

The Aussie Dollar is poised to end the week on a positive note versus the US Dollar, up 0.21% as improved risk appetite keeps AUD/USD trading near 0.7124, closing near Friday’s highs.AUD/USD Price Forecast: Technical OutlookAfter breaching the June 15 high of 0.7088, which turned support once cleared, the AUD/USD broke above 0.7100 and hit a two-day high of 0.7136 before settling at around 0.7120.The Relative Strength Index (RSI) shows the index is bearish but about to turn bullish. This means buyers expect further upside, as the Reserve Bank of Australia is expected to raise rates at the September 29…