Rupee TodayThe rupee breathed a sigh of relief early on Wednesday and recovered a touch against the rampant dollar a day after crashing to its all-time weak close.Bloomberg quoted the rupee at around 79.59, and PTI reported that the currency was almost flat at 79.58 against the US dollar in early trade.But risks to global financial markets remain, and any moves seem inconsequential ahead of the highly anticipated June US inflation report, which likely accelerated to a 40-year peak.The rupee, though, tracked a generally upbeat mood in Asia trading hours this morning as oil prices fell below $100 and domestic stocks opened on a positive tone.In the previous session, the rupee had collapsed to close at 79.60 against the greenback as the safe-haven stampede into dollar-denominated assets brushed aside almost every other currency, including the euro, which was on the brink of parity with the US currency for the first time since 2002.The euro was just short of parity with the dollar, on a technicality in foreign exchange markets terms, falling to as low as $1.00005, its lowest in nearly 20 years, as a cut in Russian gas supplies to Europe heightened rears of a recession in the eurozone.AFP reported that the euro struck parity with the dollar before rising slightly, while Reuters and Bloomberg quoted it at the brink.On Wednesday morning, though, the euro was trading at $1.00265, with investors still waiting to see if it would dip to or below 1 US dollar for the first time since 2002. On the domestic front, retail inflation for June held above 7 per cent and the Reserve Bank of India’s upper end of the target range for the sixth straight month, with details of the data suggesting higher price pressures will remain for the rest of the year, at least.
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