Rupee trades higher at 69.63 a dollar as crude falls, stocks climb
30 November 2018
The Indian rupee continued to rise for a fourth consecutive day to trade at 69.63 against the UIS dollar, gaining by 21 paise from the previous close of 69.84 – the highest closing for rupee against dollar since 21 August.
Rupee’s rise follows a weakness in the greenback against some major currencies and a higher opening of domestic equities, pointing to forex inflows. Forex traders said increased selling of the dollar by exporters and banks and sustained foreign fund inflows supported the domestic currency.
Foreign funds bought shares worth Rs823.47 crore on a net basis, while domestic institutional investors purchased shares worth Rs973.31 crore on Thursday, provisional data showed.
At the interbank foreign exchange market, the rupee opened higher at 69.68 and rose further to quote at 69.64, showing a rise of 21 paise over its previous close.
On Thursday the rupee had vaulted 77 paise to a three-month high of 69.85 per dollar.
The local unit also gained from an easing of crude oil prices, which slipped below the $60 per dollar mark as investors fretted over a supply glut.
The Indian currency has gained 78 paise from Wednesday's closing of 70.62 per dollar on the back of falling crude oil prices.
Globally, Brent crude, the international benchmark, was trading 0.42 per cent up at $59.76 per barrel.
India, however, may not gain from a fall in Brent prices as it is more dependent on West Asian crude.
The dollar-rupee December contract on the NSE was at 70.10 in the previous session. December contract open interest declined 1.50 per cent in the previous session.