Rupee Vs Dollar Today: The rupee settled at 74.70 against the dollarContinuing its winning streak for the ninth straight session, the rupee gained 34 paise to settle at a one-month high of 74.70 against the US dollar on Tuesday, December 28, tracking positive domestic equities and a weaker dollar in the overseas market.At the interbank foreign exchange market, the local unit opened at 74.95 against the greenback and registered an intra-day high of 74.60. It witnessed a low of 74.95. The rupee finally settled at 74.70, registering a rise of 30 paise over the last close.In the previous session, the domestic unit rose three paise to 75 against the dollar. Over the last nine sessions, the domestic currency has gained 162 paise against the greenback. Meanwhile, the dollar index, which measures the greenback’s strength against the basket of six currencies, declined 0.08 per cent to 96.02.However, Omicron worries and firm crude oil prices restricted the appreciation bias of the local unit to some extent. Positive moves in Indian equity indices aided sentiments, and trading is likely to remain range-bound this week ahead of the year-end holidays, according to forex traders.Mr Amit Pabari, MC, CR Forex:”As expected, thin trading activity in the holiday week, has kept the currencies mostly stable with the dollar index continuing to hover near 96.00 levels and risk assets getting a boost on the lesser impact of Omicron.The flows on account of corporate borrowing and IPOs are about to hit in January. But FIIs have been bearish on the Indian stocks as the hawkish Fed has changed the investment dynamics in the recent weeks.The flattening of the US yield curve on the hawkish Fed suggests a stronger US dollar and could not allow rupee to strengthen beyond 74 mark over the medium term. Overall, we expect USDINR to trade between 74.50- 75.80 in the near term with a slight downside bias.”On the domestic equity market front, the BSE Sensex ended 477.24 points or 0.83 per cent higher at 57,897.48, while the broader NSE Nifty advanced 147 points or 0.86 per cent to 17,233.25. ”The strength in today’s trade suggests that the street seems quite confident that it can overcome the challenges of the Omicron variant. Technically, the ongoing upbeat bullish mood shall take Nifty to the 17500-17750 zone with an inter week-perspective.That said, the optimism could reverse and cause a nasty New Year’s hangover only if Nifty slips below the 16833 mark,” said Prashant Tapse, Vice President (Research) at Mehta Equities.According to stock exchange data, the foreign institutional investors remained net sellers in the capital market on Monday, as they offloaded shares worth Rs 1,038.25 crore. Brent crude futures, the global oil benchmark, rose 0.57 per cent to $79.05 per barrel.
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