IlluMyFi

MUMBAI: The rupee appreciated 9 paise to 83.06 against the US dollar in early trade on Monday on the back of positive domestic equity markets and inflow of foreign fund. However, forex traders said a strong American currency and volatile crude oil prices weighed on the domestic currency. At the interbank foreign exchange, the domestic currency opened at 83.09, touched the level of 83.04 before trading at 83.06 against the greenback in initial deals, registering a rise of 9 paise from its previous close. On Friday, the domestic currency settled at 83.15 against the dollar. Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.09 per cent higher at 102.22 on Monday. Brent crude futures, the global oil benchmark, declined 1.12 per cent to USD 77.88 per barrel. In the domestic equity market, the 30-share BSE Sensex was trading 73.62 points or 0.10 per cent higher at 72,099.77. The broader NSE Nifty advanced 25.85 points or 0.12 per cent to 21,736.65. Foreign Institutional Investors (FIIs) were net buyers in the capital markets on Friday as they bought shares worth Rs 1,696.86 crore, according to exchange data. The seasonally adjusted HSBC India Services PMI Business Activity Index rose from 56.9 in November to 59 in December, highlighting a sharp increase in output. The country's forex reserves jumped by USD 2.759 billion to USD 623.2 billion in the week ended December 29, the Reserve Bank said on Friday.

Sentiment

Bearish/Bullish

13.01.24 01:44

by dtnext.in

Forex reserves fall sharply by $5.89 bn to $617.3 bn: RBI

NEW DELHI: Forex reserves declined sharply by $5.89 billion to $617.3 billion for the week ending January 5 after rising for four consecutive weeks, according to the weekly Reserve Bank data released on Friday. So far this fiscal, the reserves have surged $55.72 billion, as per the RBI. In the previous reporting week ended December 29, the reserves rose $2.759 bn to $623.2 bn, the highest so far this fiscal. In the week before that, the reserves increased $4.471 bn to $620.441. In October 2021, the forex kitty had reached an all-time high of $645 billion. The reserves took a hit as the central bank stepped in to defend the rupee amid pressures caused primarily by global developments since last year. In October 2021, the forex kitty had reached an all-time high of $645 billion. The reserves took a hit as the central bank stepped in to defend the rupee amid pressures caused primarily by global developments since last year. Foreign currency assets - the single-largest component of the reserves - declined $4.96 billion to $546.65 billion. Gold reserves also declined $839 million to $47.48 billion during the reporting week, while the Special Drawing Rights were down $67 million to $18.29 billion, the RBI said. Gold reserves also declined $839 million to $47.48 billion during the reporting week.BlurbThe reserves took a hit as the central bank stepped in to defend the rupee amid pressures caused primarily by global developments since last yearBlurbHCCB India CEO said this transfer "ensures the right level of investments can be undertaken in all parts of the business for scale, continuity"