Rupee Rises 27 Paise Higher Against Dollar; Settles At 74.19Page Visited: 8
The rupee rose 27 paise to settle at 74.19 (provisional) against the US dollar on Wednesday (November 18). At the interbank foreign exchange market, the rupee opened at 74.49 against the dollar, then gained ground and touched 74.44 against the American currency. In volatile trade, the local unit also touched 74.52 against the greenback. The pair rallied to touch an intraday high of 74.09 on account of Google inflow into Reliance. Further strength was capped as PSU’s bought dollars heavily on behalf of the Reserve Bank of India (RBI).
The dollar index, which gauges the greenback’s strength against a basket of six currencies, was down 0.02 per cent to 92.40. On the domestic equity market front, the BSE index zoomed 227 points to close at 44,180. NSE Nifty surged to close at 12,938. Brent crude futures, the global oil benchmark, rose 0.07 per cent to USD 43.78 per barrel.
”Rupee has remained comparatively immune to the updates especially post US elections and seems undervalued with respect to its peers as RBI has strongly intervened. The resilience of the pair throughout and RBI’s intervention shall halt the near term losses close 75.00 levels and the gains might also be limited to 73.80 levels for a while,” said CR Forex Advisors MD Amit Pabari.
”Overall, the broad range for the pair remains within 73.00-75.00, and hence on a broader note, upticks between 74.50-74.80 can be taken for selling and to buy, one can look for 73.00-73.50 levels,” he added.