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India’s foreign exchange reserves rose by USD 8.31 billion to reach USD 686.145 billion for the week ending April 18, marking the seventh consecutive week of growth. | Photo Credit: Dado Ruvic/Reuters India’s forex reserves jumped USD 8.31 billion to USD 686.145 billion for the week ended April 18, the RBI said on Friday. This is the seventh consecutive week of a rise in the kitty, which had jumped by USD 1.567 billion to USD 677.835 billion in the previous reporting week ended April 11. The forex reserves had touched an all-time high of USD 704.885 billion in end-September 2024.…
The Indian rupee ended weaker in a volatile session on Friday as investors stayed cautious amid fears of an escalation in tensions with Pakistan after a militant attack in Kashmir earlier this week. The rupee ended 0.2% lower against the U.S. dollar at 85.45 compared with its previous close of 85.26. It moved between 85.09 and 85.6550 on Friday. The local unit dropped about 0.1% week-on-week.The rupee’s “inability” to rise above its key psychological level of 85 and month-end dollar payments “exacerbated” its downward move, a trader with a private bank said. Indian stock markets dropped on Friday, significantly underperforming…
The USD/JPY price analysis indicates accelerating price pressures in Japan. Tokyo’s CPI increased by 3.4%, which is above forecasted to be a 3.2% increase. The dollar regained appeal as trade tensions between China and the US eased. The USD/JPY price analysis indicates accelerating price pressures in Japan, which may prompt the Bank of Japan to raise rates. However, policymakers remain concerned about the economic impacts of Trump’s tariffs. Meanwhile, easing trade tensions between China and the US supported the dollar. -Are you interested in learning about the forex indicators? Click here for details- The yen strengthened briefly on Friday after…
The rupee gained 25 paise to 85.08 against the US dollar in early trade on Friday, supported by significant foreign fund inflows and the rhetoric from the US trade secretary that India could be the first to sign a trade tariff treaty. Forex traders said India is presenting a picture of quiet strength. The Reserve Bank of India, in its recent bulletin, emphasised India’s growing economic resilience, driven by strong macro fundamentals, diverse trade ties, and rising global interest in Indian markets. A prospective trade agreement with the US further boosts India’s strategic edge, they noted. At the interbank foreign…
Global brokerage pegs India’s GDP growth at 5.8 per cent by the end of FY26 | Photo Credit: VIVEK PRAKASH Global brokerage Nomura estimates the rupee to appreciate to around 84/$ by the end of the year, and sees muted returns of low-single digits for the Nifty 50 in the current financial year. “There will be some active dollar purchases, cleaning up of the RBIs net short positions in the forward book, and potential accumulation of reserves by the RBI,” said Craig Chan, global head of FX strategy at Nomura Securities. The Reserve Bank of India has been rebuilding its…
The Indian rupee ended higher on Thursday as speculators failed to take the unit below a well-recognised support level, with dollar sales by exporters also helping. The rupee ended 0.2% higher at 85.26 to the U.S. dollar, compared to its previous close of 85.42. The local unit had slipped to an intraday low of 85.6625 in the session, but managed to recoup losses as it failed to move beyond a “crucial” support zone of 85.70-85.80, said a foreign bank trader.The rupee “seems poised to find support around the 85.80 level, with upside capped near 85 to a dollar,” Sugandha Sachdeva,…
An man trying hard to push the Rupee coin uphill | Photo Credit: AJIJCHAN The rupee depreciated 22 paise to 85.67 against the US dollar in early trade on Thursday, weighed down by negative domestic equities amid significant geopolitical escalation that has injected fresh uncertainty into the regional risk perception.Forex traders said heightened geopolitical tensions, following a terror attack in Pahalgam, Jammu & Kashmir weighed on market sentiment.On the global front, the US dollar index surged from its recent low of 97.92 to 99.94, marking a notable comeback driven by optimism around a potential de-escalation in US-China trade tensions, they…
The greenback has declined this year amid worries the Trump administration’s policies may cause a recession in the US | Photo Credit: Dado Ruvic Foreign exchange traders are battling to hold onto their bearish dollar positions after the currency’s two-day rally. While Bloomberg’s gauge of the dollar fell to the lowest level since 2023 on Monday, it then rose 1% over the two days through Wednesday, pressuring bets on a weaker greenback. “A healthy amount of the more tactical positioning has been cleaned out,” said Jerry Minier, co-head of G-10 FX trading at Barclays Plc in London. By Tuesday and Wednesday, market…
The Indian rupee logged its steepest fall in two weeks, pressured by a recovery in the U.S. dollar index and as traders unwound long positions on the local unit after it failed to climb above a key level. The rupee ended 0.3% down at 85.42, against 85.1875 at previous close. The Indian currency struggled to rise above 85 per dollar this week, which led “rupee bulls” to close their long-term positions on the rupee, two traders said.Some traders also cited the attack in India’s Jammu & Kashmir territory as a factor underpinning the dollar/rupee. Most Asian currencies declined following the…
Rupee depreciated 15 paise to 85.34 against the US dollar in early trade on Wednesday, after the American currency recovered supported by Donald Trump’s softened stance — particularly towards the Federal Reserve and against China. Forex traders said the market found support after Trump on Tuesday backed off from threats to fire FED Chair Jerome Powell after days of intensifying criticism against him for not cutting rates. Trump also signalled the possibility of lower tariffs against China. The dollar index rose to 99.28, while the US 10-year bond yield was slightly lower at 4.34 per cent. All three US indices…