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USD vs INR: Indian Rupee at 9-month low against US dollar - Expert decode the impact


Weakness in the Indian Rupee continued even on Monday as the INR traded at a 9-month low against the US Dollar (USD). The rupee remained under pressure following the weakness in the domestic indices, Motilal Oswal said in its report. The downward trend was triggered by the Reserve Bank of India Monetary Policy announcement, it further said.
 
What this means for currency traders and also how weakening rupee would impact the overall situation for commodities? Expert Anuj Gupta, Vice President (VP), Commodity and Currency Research at IIFL Securities gives useful insights. Take a look!   
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Analysts see rupee at 76.5 against dollar; factors that may guide the trajectory


After suffering its biggest one-day fall since August 2019 on Wednesday, the rupee appreciated by 10 paise on Thursday to quote at 74.37 against the US dollar in intraday deals. It nosedived 1.52 per cent on April 7 and closed at 74.56 to a dollar the lowest since November 13, 2020.
The local currency came under pressure after the Reserve Bank of India (RBI) committed to buying Rs 1 trillion bonds from the secondary markets in the first quarter of fiscal year 2021-22 (Q1FY22). The 10-year bond yields fell as low as 6.06 per cent after the monetary policy announcement on Wednesday.
The fall in yield, however, tightened the spread between the yield on 10-year India government bond and US 10-year government bond. The yield spread is now down to 4.42 per cent, from 5.76 per cent in April last year, and the three-year average of 4.9 per cent. Generally, when the yield spread tightens against a certain currency, then that currency depreciates against other currencies, whic ....

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Petrol, Diesel Price 2 April 2021- Rates remain unchanged on Friday; Do this to know daily prices in Delhi, Mumbai, Kolkata, Chennai

Petrol, Diesel Price 2 April 2021- Rates remain unchanged on Friday; Do this to know daily prices in Delhi, Mumbai, Kolkata, Chennai
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Rupee tanks 104 paise to close at 73.47 against US dollar


Rupee tanks 104 paise to close at 73.47 against US dollar
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Last Updated: Feb 26, 2021, 04:22 PM IST
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Synopsis
At the interbank forex market, the local unit opened at 72.43 against the greenback, then lost further ground to touch an intra-day low of 73.51.
It finally ended at 73.47 against the American currency, registering a massive fall of 104 paise over its previous close.
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NSE
MUMBAI: The rupee dived 104 paise to settle at 73.47 (provisional) against the US
dollar on Friday, following a heavy selloff in domestic equities and strong American currency in the overseas market.
At the interbank forex market, the local unit opened at 72.43 against the greenback, then lost further ground to touch an intra-day low of 73.51. ....

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