Rupee Today: The domestic currency was steady against the dollarThe rupee reversed to fall slightly in early trade on Tuesday after gaining sharply in the previous session when it stalled a two-day losing streak.”As the dust settled in global financial markets after the series of economic events last week, markets would remain calmer going into the Christmas holiday,” said Amit Pabari, Managing Director of CR Forex Advisors.Bloomberg showed the rupee was last changing hands at 82.7375 per dollar, compared to Monday’s close of 82.7025.”The Indian rupee may open slightly higher at around 82.65 a dollar after closing yesterday at 82.70 and remain within a range of 82.40 to 82.90 as lower volumes drive the market,” said Anil Kumar Bhansali, Head of Treasury at Finrex Treasury Advisors.”Exporters may continue to sell near the 82.90 levels while importers may also continue to buy dips for near-term payables,” he added.In the previous session, the domestic currency regained some ground, stalling a two-session losing streak as the dollar slipped, and hopes of a demand recovery in China helped the mood somewhat.But PTI reported that the rupee fell 11 paise to 82.73 against the US dollar in early trade on Tuesday as investors broadly predict some bumps along the way for China’s relaxation of Covid restrictions and the possibility that US interest rates will increase more than anticipated in 2023.On Tuesday, the dollar veered toward a one-week high versus a basket of major currencies, supported by climbing US Treasury yields as investors continued to process the Federal Reserve’s message of higher for longer interest rates.The “hawkish Fed policy update remains fresh in the minds of investors,” buoying US yields and the dollar, National Australia Bank Strategist Rodrigo Catril wrote in a client note, according to Reuters.At the same time, “consolidation is the theme within FX” amid thinning market liquidity heading into the holiday season, he added.Meanwhile, the yen retreated against the dollar on Tuesday ahead of a Bank of Japan (BOJ) policy announcement.The Japanese currency had momentarily strengthened on Monday in response to media speculation that the government may review a joint statement with the BOJ that pledges the bank to attain its 2 per cent inflation target as soon as possible in the coming year.Featured Video Of The DaySensex Crashes Over 500 Points, Extending Losses For Third Straight Day
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