Rupee opens higher at 60.86 per dollar on strong foreign inflows

 

 

Since the beginning of this year, the rupee has gained 1.7%, while foreign institutional investors have bought $1.88 billion from local equity markets. Photo: Mint

 

Mumbai: The Indian rupee on Monday opened higher tracking gains in Asian currencies. It opened at 60.86 per dollar against its Friday’s close of 60.92 despite dollar gaining strength in the overseas market.

Foreign investors continue to pour dollar in the domestic equity markets, pushing the BSE Sensex up by 0.5% to 21,865.48 in the early morning trade.

 

Most of the Asian currencies were trading higher with Indonesian rupiah up 0.4%, Philippines peso up 0.28%, Singapore dollar up 0.17% and the Taiwan dollar up 0.16%.

 

Since the beginning of this year, the rupee has gained 1.7%, while foreign institutional investors have bought $1.88 billion from local equity markets.

 

The yield on India’s 10-year benchmark bond was trading at 8.784%, compared with its Friday’s close of 8.795%. Bond yields and prices move in opposite directions.

 

At 9.16am, the rupee was trading at 60.69 per dollar, up 0.4% from its previous close.

 

The dollar index, which measures the US currency’s strength against major currencies, was trading at 80.145, up 0.05% from its previous close of 80.105.

 

Reserve Bank of India (RBI) governor Raghuram Rajan and all deputy governors will hold monetary policy strategy meeting on Monday.

RANJAY KUMAR,

PGDM 2nd SEM,

SOURCE-: MINT