India Forex - Forex Trading in India

India Monday 31 May 2010: The rupee dropped early on Monday as concerns the eurozone growth prospects grew post the Spain downgrade but domestic shares and the March quarter growth would be watched for further direction.

At 9:05 a.m. the partially convertible rupee was at 46.50/51, weaker than 46.35/36 at close on Friday. The unit rose 1.3 percent last week.

The euro stabilized against the dollar but remained under downward pressure after Fitch Ratings downgraded Spain’s credit rating, refuelling concern about Europe’s debt woes hurting the global economy.

Most Asian currencies were stronger compared to the dollar. However, the index of the dollar against six major currencies was up 0.06 per cent.

Indian shares, however, rose 0.2 per cent as investors put euro-zone worries behind them and looked ahead to a stronger economic data from the government later in the day.

The March quarter growth figures due around 11 a.m. (0530 GMT) and would be eyed for direction.

The economy probably grew 8.7 per cent in the quarter from a year earlier, its strongest since December 2007, the median forecast of 20 economists showed.

India Monday 31 May 2010 : The rupee today eased by 11 paise to 46.50 against US Dollar in the early trade, as against is previous close of 46.39 per USD, following sustained demand for the greenback from exporters and others, traders at the Interbank Foreign Exchange (FOREX) said here.
In the last two days, it had risen with a massive gain of Rs 1.30 paise.

The local unit was moving in a wide range between 46.52 and 46.42 per USD in the intra day.

With the equity market opening on a flat note after a three-day rally, no improvement was seen in the rupee, traders added.

India Monday 31 May 2010 : Following were the indicative currency notes and travellers cheques buying and selling rates per unit today as given by Thomas Cook India Ltd.

(Figures in Rupees) ——————— Currencies Buy Sell US Dollar 43.80 48.95 Sterling Pound 63.65 70.60 Euro 53.85 60.05 Australian Dollar 37.65 41.50 Bahrain Dinar 115.15 131.20 Canadian Dollar 41.20 46.35 Danish Kroner 07.00 08.20 Egyptian Pound 05.95 08.55 Hongkong Dollar 05.45 06.45 Japanese Yen(100) 47.50 52.90 Jordan Dinar 58.30 67.55 Kuwait Dinar 135.95 161.95 Malayasian Ringgit 12.80 15.55 New Zealand Dollar 29.25 33.80 Norwegian Kroner 06.60 07.65 Oman Rial 112.75 128.30 Qatar Rial 11.90 13.65 Saudi Rial 11.55 13.30 Singapore Dollar 30.35 35.60 South African Rand 05.35 06.50 Swedish Kroner 05.40 06.30 Swiss Franc 37.75 43.40 Syrian Pound 00.35 01.05 Thai Baht (per100) 131.40 154.85 UAE Dirham 11.85 13.40 Chinese Yuan 04.95 07.75

India Saturday 29 May 2010 - The rupee rose to its highest in a week on Friday, as risk aversion over the euro zone debt crisis receded, bolstering dollar supplies from local exporters while a rally in domestic shares aided sentiment. The partially convertible rupee ended at 46.35/36 per dollar, off an intraday peak of 46.32, its strongest since May 20, and more than 2% stronger than Wednesday’s close of 47.29/30. It rose 1.3% on the week.

The market was closed on Thursday for a local holiday. The euro gained on month-end fixing demand for euros and ahead of a long weekend in both the US and UK markets. The dollar index against six majors was down about 0.1%. “The euro’s rise led to dollar selling from exporters from the beginning of trade. The undertone is bullish and I see a range of 46.20 to 46.50 for Monday,” said a dealer with a foreign bank.

Traders said a rise in domestic share prices also supported sentiment. The benchmark BSE share index posted its biggest weekly gain since early March, as it rose 1.2% on the day, tracking a rally in global markets and China’s assurance that Europe will remain a major investment market.

One-month offshore non-deliverable forward contracts were quoted at 46.46, weaker than the onshore spot rate. In the currency futures market, the most traded near-month dollar-rupee contracts on the National Stock Exchange and MCX-SX ended at 46.5050 and 46.51, respectively, with the total traded volume on the two exchanges at about $7.8 billion.

Bond yields erased most of their early gains on Friday, after data showed food and fuel price inflation eased, calming worries the central bank could raise rates ahead of its next policy review in July. Yields were still up on the day on liquidity concerns as Rs 67,700 crore ($14.6 billion) is expected to flow out of the banking system by Monday as telecom firms pay for third generation (3G) spectrum.

The benchmark 10-year yield ended at 7.55%, moving away from an early 7.64%, which was its highest since May 11, but slightly higher than Wednesday’s close of 7.52%.

Total volume on RBI’s platform was heavy at Rs 19,575 crore on Friday. The central bank sold Rs 12,000 crore of bonds at cut-off yields below market expectations. The 10-year 7.80% 2020 benchmark paper was sold at 7.60% at the auction.

India Saturday 29 May 2010 : Following were the indicative currency notes and travellers cheques buying and selling rates per unit today as given by Thomas Cook India Ltd.

(Figures in Rupees) ——————— Currencies Buy Sell US Dollar 43.70 48.85 Sterling Pound 63.45 70.45 Euro 53.50 59.65 Australian Dollar 37.50 41.35 Bahrain Dinar 114.95 131.00 Canadian Dollar 40.90 46.00 Danish Kroner 07.00 08.15 Egyptian Pound 05.95 08.55 Hongkong Dollar 05.45 06.45 Japanese Yen(100) 47.60 53.00 Jordan Dinar 58.20 67.45 Kuwait Dinar 135.95 161.95 Malayasian Ringgit 12.65 15.30 New Zealand Dollar 29.05 33.55 Norwegian Kroner 06.55 07.60 Oman Rial 112.55 128.10 Qatar Rial 11.90 13.60 Saudi Rial 11.50 13.30 Singapore Dollar 30.20 35.40 South African Rand 05.35 06.45 Swedish Kroner 05.40 06.25 Swiss Franc 37.50 43.15 Syrian Pound 00.35 01.05 Thai Baht (per100) 131.00 154.40 UAE Dirham 11.80 13.40 Chinese Yuan 04.95 07.70.

India Saturday 29 May 2010 - India`s forex reserves increased marginally by USD 64 million to stand at USD 273,364 million as on May 21, 2010 mainly on account of rise in foreign currency assets.

As per the weekly statistical supplement of the Reserve Bank of India (RBI) released on May 28, 2010, foreign currency assets increased by USD 40 to stand at USD 248,637 million.

During the same period, gold reserves remained steady at USD 18,537 million. Reserve position in the International Monetary Fund (IMF) increased by USD 5 million to stand at USD 1,313 million.

Special Drawing Rights (SDRs) increased by USD 19 million to stand at USD 4,877 million.

Foreign currency assets expressed in USD include the effect of appreciation or depreciation on non-US currencies (such as Euro, Sterling and Yen) held in reserves.

India Friday 28 May 2010 : The rupee today surged by 59 paise to 46.70 against US Dollar in the opening trade, as against its previous close of 47.29 per USD, on firm opening of the domestic equity market besides the greenback’s weakness against other Asian currencies, traders at the Interbank Foreign Exchange (FOREX) said here.

The domestic currency had ended at 47.29 per USD, with a gain of 40 paise, on Wednesday. The market was closed yesterday for Buddha Purnima.

The rupee rallied today following strong opening of the stock markets due to the capital inflows from foreign funds and the sell- off of the US currency by exporters and banks, they added.

The local unit was moving in a narrow range between 46.75 and 46.71 per USD in the intra day.

India Friday 28 May 2010 : Following were the indicative currency notes and travellers cheques buying and selling rates per unit today as given by Thomas Cook India Ltd.

(Figures in Rupees) ——————— Currencies Buy Sell US Dollar 44.05 49.20 Sterling Pound 64.25 71.30 Euro 54.00 60.25 Australian Dollar 37.85 41.75 Bahrain Dinar 115.80 131.95 Canadian Dollar 41.30 46.50 Danish Kroner 07.05 08.20 Egyptian Pound 06.00 08.60 Hongkong Dollar 05.45 06.50 Japanese Yen(100) 49.95 53.40 Jordan Dinar 58.50 67.80 Kuwait Dinar 136.45 162.60 Malayasian Ringgit 12.75 15.45 New Zealand Dollar 29.30 33.85 Norwegian Kroner 06.60 07.65 Oman Rial 113.35 129.00 Qatar Rial 11.95 13.70 Saudi Rial 11.60 13.40 Singapore Dollar 30.50 35.70 South African Rand 05.40 06.50 Swedish Kroner 05.40 06.25 Swiss Franc 37.85 43.55 Syrian Pound 00.35 01.05 Thai Baht (per100) 132.05 155.65 UAE Dirham 11.90 13.45 Chinese Yuan 04.95 07.75.

India Thursday 27 May 2010 - The rupee strengthened the most in more than two weeks, snapping a five-day slide, as a regional stock rally spurred risk-taking and exporters took advantage of recent weakness to repatriate income.

The currency rebounded from near an eight-month low and the Sensex climbed from its lowest close since February. Benchmark stock indexes advanced across the region and the MSCI Asia Pacific Index rose 0.9%, trimming this month’s slide to 13%.

“The rupee has recovered from Tuesday’s lows as stocks are showing a positive trend,” said Naveen Raghuvanshi, a currency trader at Development Credit Bank in Mumbai. “Exporters started converting their dollars on Tuesday and may continue to do so on Wednesday.”

The rupee appreciated 0.9% to 47.31 per dollar, paring this month’s loss to 6.4%. The currency hit a seventh-month low of 47.745 on Tuesday.

Offshore forwards signalled traders pared bets for the rupee to weaken. The contracts indicated the currency will drop to 47.67 per dollar in three months, compared with expectations of 48.22 on Tuesday. Forwards are agreements in which assets are bought and sold at current prices for future delivery. Non-deliverable contracts are settled in dollars rather than the local currency.

The rupee’s one-month implied volatility, a measure of expectations for swings in the exchange rate, declined to 13.7% from 18% on Tuesday, which was the highest level since February 2009. The gauge of expected currency swings is quoted by traders as part of option prices.

India Wednesday 26 May 2010 : The Rupee today recovered by 36 paise to 47.34 against US Dollar in the opening session from its last close of 47.70 per USD, on capital inflows by foreign funds and the weak Dollar against other Asian currencies, traders at the Interbank Foreign Exchange (FOREX) said here.
The local unit had slid by 70 paise at 47.70/71 yesterday as it was the weakest level since October 1, 2009, a dealer said.

A narrow fluctuation was seen in the local unit as it recorded the intra day’s high and low at 47.39 and 47.33 per USD respectively.

The Rupee bounced back against the US currency on fresh capital inflows by foreign funds into equities and the dollar selling by exporters, he added.