Rupee opened higher, Dollar holds four month high, Oil multi year top.
Tuesday,
22-May-2018
09:10 AM (IST)
The Indian rupee opened the day higher at 68.0225/0325 levels compared to its previous close at 68.12/13 levels as long term Treasury yields extend decline, pulling dollar index down from highest level this year.Benchmark indices started off trade on a flat note, tracking mixed trend seen in Asian stocks. The 30-share BSE Sensex was up 30.63 points at 34,646.76 and the 50-share NSE Nifty rose 15.30 points to 10,532. India government bonds fall in thin early trade as lack of OMO purchase announcement by RBI hurts demand. As per the technical indicators range for the USDINR pair may be 67.70-68.35 levels. Rupee has an immediate support at 68.15 levels. A breach of the same may see rupee at 68.23 followed by 68.35 levels. On the positive side rupee is likely to face resistance at 67.90 levels and if it is able to break the same then it may gain up to 67.78 levels followed by 67.70 levels.
The dollar hovered near four-month highs on Tuesday on renewed optimism about global growth as the United States and China agreed to drop their tariff threats, while oil stayed at multi-year peaks over potential sanctions in Venezuela. Beijing and Washington both claimed victory on Monday as the world's two largest economies stepped back from the brink of a global trade war and agreed to hold further talks to boost U.S. exports to China.
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