Rupee falls against US Dollar during the week - ZENMoney

Rupee fell for the week against US dollar due to large demand for dollars from oil companies along with persistent foreign capital outflows coupled with stronger US dollar against basket of currencies. A rally in domestic markets coupled with intervention from RBI and Finance minister along with encouraging India's current account deficit restricted the fall in the Indian currency. The persistent dollar sales by banks and exporters coupled with speculated inflows related to Diageo Plc's stake purchase in United Spirits along with a move of gas-price hike during Friday supported the Indian currency at lower levels.

Bond prices fell for the week due to a record low of Indian rupee along with concerns about continued foreign selling and hurt from the overhaul of rules for foreign investors coupled with the rising US treasury yield and lower growth outlook of China. The buying emerged from domestic mutual funds coupled with March quarter current account deficit data along with a rebound in Indian currency during the weekend supported the market at lower levels.

Source : Equity Bulls

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