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The British Pound (GBP) trades slightly higher against the US Dollar (USD) on Friday, as modest softness in the Greenback lends some support. However, price action remains subdued amid thin liquidity conditions due to the Good Friday holiday, with trading activity likely to pick up during the American session as traders await the US Nonfarm Payrolls (NFP) report.At the time of writing, GBP/USD is trading around 1.3234, after falling to a four-month low at 1.3159 earlier this week. Meanwhile, the US Dollar Index (DXY), which tracks the Greenback’s value against a basket of six major currencies, is hovering near the…
West Texas Intermediate (WTI) oil price steadies around $103.80 per barrel during the early European hours on Friday. WTI price gained over 10% as supply concerns intensified following renewed Iran threats from US President Donald Trump.President Trump warned of intensified military action on Iran over the next two to three weeks and issuing strong threats against Iran. But he offered no clarity on steps toward reopening the Strait of Hormuz.Iran’s Foreign Minister Abbas Araghchi responded that recent US strikes on civilian infrastructure would not force a retreat, describing them instead as evidence of an opponent in disarray and moral decline.Reports…
Silver price (XAG/USD) remains in the negative territory after experiencing volatility, trading around $73.10 during the Asian hours on Friday. The dollar-denominated Silver comes under pressure as a stronger US Dollar (USD), driven by safe-haven demand, makes the white metal costlier for foreign buyers. Trading activity may remain subdued due to the Good Friday holiday.Non-interest-bearing Silver remains under pressure as hawkish central bank expectations for 2026 intensify. Rising energy prices tied to Middle East tensions reinforce inflation concerns, supporting tighter policy outlooks and reducing the appeal of precious metals that offer no yield.US President Donald Trump offered no clarity on…
The difference between domestic dollar-rupee forwards and overseas non-deliverable forwards (NDF) widened as banks squared their positions by selling dollars in the local market and buying abroad after the Reserve Bank of India (RBI) prohibited banks from offering or rebooking any NDF contracts to their clients, reinforcing measures taken late last week to support the rupee.Bankers said the gap widened steeply in the longer end as overseas investors and hedge funds were not big sellers of the US currency in the long end. The difference between one-month domestic forward and overseas NDF increased to about 50 paise from about 40…
The Indian rupee strengthened nearly 1.8% on Thursday to close at 93.10 against the dollar after the Reserve Bank of India tightened rules on speculative bets on the currency. The rupee touched an intraday high of 92.83 per dollar, logging its best singleday gain since September 2013.The currency gained 173 paise from its previous close of 94.83 per dollar. The rupee is expected to trade in the 92.5093.50 range next week as banks unwind their net open positions, traders said. Currency markets will stay shut on Friday due to Good Friday. The RBI has directed lenders to pare open positions…
Long before the first missiles were fired in the Middle East, the warning signs of a 2013-style capital exodus were visible in the gap between India’s ambitions and economic resources. Once the Iran war revived the dollar’s safe-haven appeal, the bottom gave way under the rupee.Asia’s worst-performing currency over the past year weakened through a key psychological barrier of 95 against the greenback to hit a record intraday low of 95.12 on Monday. The conflict in the Persian Gulf is the trigger for the unusual weakness, but the fragility is domestic.Traders rightly sensed Reserve Bank of India’s mandate to cap…
Federal Reserve Bank of Chicago President Austan Goolsbee said on Thursday that he is concerned about the timing of rising oil prices, stating that they could hinder efforts to reduce inflation.Key quotesOil price rise is quite serious, everything depends on how long it lasts. If extended period of oil price rise, will see it in consumer sentiment and price of food, manufacturing. We have unfortunate timing for oil prices to rise, had hoped inflation would fade. There can be complications when the price of gasoline rises significantly, which can increase inflation expectations.That would put us in a tougher spot. I am concerned about inflation. There was…
US Dollar and indian Rupee money exchange concept | Photo Credit: th-online Administrator The rupee started the new financial year (FY27) with a bang due to the RBI’s recent twin measures — capping the net open position limits and tightening forex derivative rules — to curb speculative pressure on the domestic currency,The central bank’s measures had the desired effect, with the rupee, which depreciated 9.8 per cent in FY26 against 2.5 per cent in FY25, on Thursday notching up the biggest single day gain in more than a decade. It gained 173 paise to close at 93.10 per US dollar,…
The Clearing Corporation of India has imposed a 20% volatility margin on dollar-rupee forward trades following sharp market fluctuations triggered by RBI’s curbs on arbitrage. | Photo Credit: iStockphoto The Clearing Corporation of India has imposed an additional margin on dollar-rupee forward trades after witnessing significant volatility in the market, it said on Thursday.Volatility margin imposed amid market swingsCCIL said it would levy a volatility margin of 20% of initial margin with immediate effect under its foreign exchange forward segment regulations.It said the step would raise total margin use for the segment and would also apply to the dollar-rupee options…
India banned its banks from offering the most popular instrument for trading the rupee offshore, threatening to squeeze a $149 billion-a-day market in an extreme step to shore up its tumbling currency.The Reserve Bank of India’s restrictions on non-deliverable derivative contracts will ripple through major currency hubs such as Singapore and London, where trading has exploded over the past decade to about twice the size of the onshore market. The rupee surged the most in 12 years on Thursday.The policy adds to a late-Friday measure that capped lenders’ daily currency positions locally at $100 million, triggering a scramble among banks…