INSUBCONTINENT EXCLUSIVE:
The rupee hit a low of 71.03 against the dollar during the day.Mumbai: The rupee settled 6 paise lower at 70.90 to the dollar on Wednesday
as participants exercised caution ahead of the Federal Reserve's monetary policy decision. However, the rupee loss was somewhat capped by
unabated foreign fund inflows, domestic stocks rally and lower crude oil prices. Starting off weaker, the domestic currency went on to hit
a low of 71.03 against the dollar during the day
It, however, claimed some of its lost ground to settle at 70.90, showing a fall of 6 paise over its previous close. Globally, markets are
keenly awaiting the outcome of the all-important Federal Open Market Committee (FOMC) monetary policy decision, which will be announced at
1800 GMT on Wednesday. Brent crude, the global oil benchmark, declined by 0.08 per cent to $61.54 per barrel in futures
trade. Continuing with their bullish outlook, foreign institutional investors bought equities worth Rs 7,192.42 crore on Wednesday,
exchange data showed. Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, fell 0.03
"Rupee failed to move out of the range and continued to consolidate in a narrow range as most market participants remained cautious ahead of
the important FOMC policy statement that will be released today
Expectation is that the central bank could cut rates by 25 bps and adopt a hawkish stance thereby keeping the dollar supported on lower
level," said Gaurang Somaiyaa, forex and bullion analyst, Motilal Oswal Financial Services. "US GDP and private payrolls number will also
be keenly watched and better-than-expected number could extend further gains for the greenback
We expect the USDINR(Spot) to quote in the range of 70.70 and 71.30," he said. On the equities front, the BSE Sensex ended 220.03
points, or 0.55 per cent, higher at 40,051.87
The benchmark closed above the key 40,000-level after June 4, 2019
The broader NSE Nifty jumped 57.25 points or 0.49 per cent to close at 11,844.10.Get Breaking news, live coverage, and Latest News from
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