Rupee closes weaker against US dollar 67.07; bond yields fall to new 3-year low

Mumbai: The Indian rupee weakened against the US dollar on Friday after local equity markets fell over 100 points, while the 10-year bond yield fell to a fresh three-year low as hopes of a normal monsoon and a dovish central bank governor renewed expectations of further rate cuts.

The home currency closed at 67.07, down 0.2% from its previous close of 66.91. The local currency opened at 66.88 a dollar and touched a high and a low of 66.85 and 67.13, respectively, in intraday trade.

India’s benchmark Sensex fell 0.38%, or 105.61 points, to 27,836.50. So far this year, it has gained 6.58%.

Asian currencies closed mixed. Philippines peso was up 0.59%, Taiwan dollar 0.49%, South Korean won 0.37% and Thai baht 0.29%. However, Japanese yen was down 0.43%, Indonesian rupiah 0.18%, Singapore dollar 0.12%.

India’s 10-year bond yield closed at 7.272%—a level last seen on 17 June 2013— compared with Thursday’s close of 7.285%.

So far this year, the rupee is down 1.3%, while foreign institutional investors have bought $3.27 billion in equity markets and sold $1.12 billion in debt markets.

The dollar index, which measures the US currency’s strength against major currencies, was trading at 95.977, down 0.11% from its previous close of 96.077.


Social Media Auto Publish Powered By : XYZScripts.com