Rupee Weakens By 35 Paise to shut At 74.76 Against Dollar

During the session, the local unit recorded an intra-day high of 74.57 and a coffee of 74.90 against the dollar.

The US presidential election is seeing a decent race for the Oval Office as Republican incumbent Donald Trump and Democratic challenger Joe Biden are appearing to closely fight it call at the key battleground states.

According to reports, most emerging market shares scored small gains while currencies were broadly weaker on hints of a decent race, sparking problems with volatility across financial markets.

On the domestic equity market front, BSE benchmark Sensex ended 355 points higher at 40,616 and NSE benchmark Nifty 50 index advanced 95 points to shut at 11,908.

Earlier within the day, the partially convertible rupee was at 74.66/67 per dollar at 10:36 am versus its previous close of 74.40.

Traders expect the rupee to weaken further with the unit having hit a coffee of 75.0550 within the overnight spot non-deliverable forwards market.

He added that this kept equity markets jittery and rebound in dollar index on the brink of 93.90 levels thereby keeping major peers and Asian currencies for a toss,” Amit Pabari, director at Forex advisory firm CR Forex said during a statement.

RBI is watching diversifying its exchange reserve investments amid the autumn in global interest rates and it’s likely to extend its gold investments, also as buying dollars and exploring investing in AAA-rated corporate bonds for the primary time.

As a knee-jerk to the updates, rupee broke its crucial 74.50 mark and reached on the brink of 74.90 levels having an extra scope to maneuver on the brink of 75.20 levels.

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