Indian Rupee: Positive Equities Likely To Support

18 Oct 2022 , 09:22 AM

Slight recovery in dollar overseas and foreign fund outflows is likely to add some pressure on the Indian rupee on Tuesday. However positive sentiments could support the local unit. Overseas, Asian stocks are trading higher on Tuesday after Wall Streets rally overnight. The UKs decision to reverse more of its unfunded tax cuts also aided global market sentiment. Wall Street jumped to robust gains on Monday as solid earnings and a financial policy reversal in Britain fueled risk appetite. The local unit ended down 11 paise to close at 82.30 against the US dollar on Monday. At the interbank foreign exchange market, the local currency opened lower at 82.33 and later fell to a low of 82.42. The unit finally settled at 82.30 against the American currency, registering a decline of 11 paise over its previous close. Domestic headline equity indices ended with strong gains on Monday, mirroring positive global cues. The barometer index, the S&P BSE Sensex, jumped 491.01 points or 0.85% to 58,410.98. The Nifty 50 index gained 126.10 points or 0.73% to 17,311.80. Foreign portfolio investors (FPIs) sold shares worth Rs 372.03 crore, while domestic institutional investors (DIIs), were net buyers to the tune of Rs 1,582.24 crore in the Indian equity market on 17 October, provisional data showed. Powered by Commodity Insights