Rupee gains 6 paise against dollar in early trade.

The Indian rupee opened higher by six paise at 66.20/$ against US Dollar on Wednesday as against the previous close of 66.26/$.

The outcome may be a non-event and the attention of course will shift to the Brexit issue next week. Meanwhile, safe haven asset chase has led to gold hitting a six-month high, rising around 5pc in June itself. On the international front, China received a setback as MSCI is no mood to add China’s local currency shares to its benchmark, which is tracked by money managers with ~ $1.5 tn of assets.

On the economy front, Wholesale Price Index in the month of May 2016 has increased to 0.79% compared to 0.34% in the previous month and -2.20% during the corresponding month of the previous year. Meanwhile, March WPI inflation has been revised to -0.45% from -0.85%. CPI inflation increased to 21-months high of 5.76% in May 2016, while recording rise for second straight month. The CPI inflation had stood at 5.47% in April 2016.

On the global front, the US Federal Open Market Committee will begin its two-day meeting starting from today.

The Indian currency ended lower by 13 paise at 67.26/$. The local unit had hit a high of 67.36 and a low of 67.37. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 67.15 and for Euro stood at 75.75. The RBI’s reference rate for the Yen stood at 63.46; reference rate for the Great Britain Pound (GBP) stood at 95.1007.

Source : indiainfoline.com​