| Date: |
28-11-2014 |
| Subject: |
Rupee trades marginally lower at 61.93 per dollar |
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Mumbai: The Indian rupee on Friday was trading marginally lower against the dollar as traders avoided taking huge positions ahead of key economic data due later on Friday.
The government will issue gross domestic product (GDP) data for the September quarter and fiscal deficit data for October on Friday after 5.30pm. A Bloomberg poll estimates GDP for the September quarter will be 5.1% as compared to 5.7% in June quarter.
The local unit opened at 61.93 per dollar. At 9.08am, the home currency was trading at 61.88, down 0.01% from previous close of 61.88, while India’s equity benchmark Sensex index was trading at 28,484 points on BSE, up 0.16%.
All the Asian currencies were trading lower. Malaysian ringgit was down 0.62%, South Korean fell 0.57%, Japanese yen 0.42%, Singapore dollar 0.25%, Indonesian rupiah 0.21%, Thai baht 0.15%, Philippines peso 0.15%, China offshore 0.14%.
The yield on India’s 10-year benchmark bond was trading at 8.113%, compared with its Thursday’s close of 8.147%. The 10-year bond touched a low of 8.113%—a last level seen on 2 August 2013. Bond yields and prices move in opposite directions.
The Reserve Bank of India (RBI) on Wednesday announced a sale of government of India dated securities (G-secs) worth Rs.12,000 crore through open market operations (OMOs) on 1 December.
A number of bank economists and treasurers say that a reduction in interest rates is unlikely at the central bank’s next monetary policy review on 2 December. A survey of 10 economists and bank treasurers showed that no one is expecting an immediate cut in interest rates, instead they expect RBI governor Raghuram Rajan to wait until there is more clarity on the inflation trajectory and global developments such as commodity prices and monetary policy in the US, Mint reported.
Since the beginning of this year, the rupee has weakened 0.03%, while foreign institutional investors have bought $15.73 billion during the period from local equity markets.
The dollar index, which measures the US currency’s strength against major currencies, was trading at 88.063, up 0.52% from the previous close of 87.607.
Source : livemint.com
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