INSUBCONTINENT EXCLUSIVE:
The rupee rose to 67.21 against the US dollar at day's high today.
The rupee today moved higher against the US dollar amid broad weakness of the greenback against a basket of
Indian equity markets were flat today
Cautiousness prevailed in the markets ahead of announcement of Karnataka election results due tomorrow
Karnataka went to the polls on Saturday
Meanwhile, exit polls predict a hung assembly
Traders also attributed the rupee's rise against the US dollar to fresh selling of the American currency by exporters and banks
The rupee rose to 67.21 against the US dollar at day's high
It was trading at 67.27 against the US dollar in recent trade
On Friday, the rupee had settled almost flat at 67.33 against the US currency after a highly volatile session
In a note, forex advisory firm IFA Global said the rupee may trade in the range of 67.14-67.48 in the short term and the markets would watch
the outcome of the Karnataka elections
"Post the Karnataka election result tomorrow, the rupee is likely to align with the domestic fundamentals and global US dollar performance,"
Anindya Banerjee of Kotak Securities said traders will react to the Karnataka election results
However, for the larger downtrend in the rupee to reverse, oil prices have to decline, he added
Amid concerns over rising oil prices, the rupee has fallen over 5 per cent against the US dollar since the beginning of this year.3
"Importers are advised to cover in the range of 66.80-66.50 zone
They are advisable to keep a stop-loss of 67.60 levels
Exporters are advised to cover partially on every upticks towards 67.40-67.50 levels," IFA Global added.4
In currency markets, the dollar dipped 0.1 per cent to 92.41 against a basket of major currencies
The dollar retreated further from its 2018 peak hit last week on the back of sagging US bond yields, after softer economic data last week
curbed prospects of aggressive rate hikes in the United States.5
Global oil prices also slipped today with Brent off 39 cents at $76.73 as a relentless rise in US drilling activity pointed to increased
US plans to reintroduce sanctions against Iran, which pumps about 4 per cent of the world's oil, had sent oil prices near multi-year
highs.(With agency inputs)For the latest Election Results Live Updates from Karnataka log on to TheIndianSubcontinent.com
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