INSUBCONTINENT EXCLUSIVE:
INR Vs USD: The rupee closed at 72.63 against the greenback on Monday.The traded 15 paise lower at 72.78, after earlier falling 33 paise in
early trade on Tuesday, against the US dollar, reported news agency Press Trust of India (PTI)
The rupee was on course to close lower against the greenback for a third consecutive session
A surge in crude oil prices to $81 a barrel - past its 2014 highs - along with strength in the dollar overseas battered the rupee, say
year.Here are 10 things to know:1
The rupee opened lower at 72.89 against Monday's closing level of 72.63 a dollar at the interbank foreign exchange market here
It dipped near all-time lows 72.96 and erased some lost ground to quote at 72.70 in morning deals, it was trading at 72.78 at 1030 hrs,
Overseas, the US dollar was higher against its major peers in early Asian trade.3
Concerns on the current account deficit front on the back of soaring crude oil prices dragged the rupee lower.4
Crude oil prices edging near four-year highs added to rupee's worries
Brent crude oil futures nudged up 0.2 per cent to $81.32 a barrel , reported news agency Reuters
Crude oil prices edged higher above $81 a barrel levels, near a four-year high of $81.48 hit in the previous session
Looming US sanctions against Iran and unwillingness by the Organization of the Petroleum Exporting Countries (OPEC) to raise output pushed
the crude oil prices higher.5
High crude oil prices tend to widen the trade deficit, and the current account deficit
The government had last week proposed the merger of three state-run banks - Dena Bank, Vijaya Bank and the Bank of Baroda - to create the
country's third largest lender
The board of Dena Bank has approved the merger plan.7
The rupee could continue to remain under pressure, say analysts.8
"This may cause the rupee to underperform its current account surplus emerging market counterparts Cancellation of scheduled trade-related
imposed new tariffs on each other's goods on Monday and neither side looks to be in the mood to compromise, raising the risk of a protracted
battle that could chill investment and disrupt global trade.9
The Reserve Bank of India has said the central bank and market regulator Sebi are watching market developments closely and would act if
The US central bank - the Federal Reserve - is set to begin its two-day policy meet later on Tuesday
Analysts will watch the central bank's commentary on the world's largest economy for direction in the currency markets
