NRI Newsletter - Market News

NRI Newsletter - Market News

 

DATE: Friday, 02nd December, 2016


USD/INR: as on 01st December, 2016

Extending gains for the third straight day, the rupee on Thursday ended at one-week high of 68.34 against the resurgent dollar following robust macro-economic data even as crude prices jumped after the historic OPEC deal. Stretching its strong recovery momentum for the third straight day, the home currency managed to sidestep the early volatility to end higher by 4 paise. At the Interbank Foreign Exchange (forex) market, the local unit resumed substantially lower at 68.48 and weakened further to hit an intra-day low of 68.51 on fresh demand for the American currency from banks and importers. However, it staged a strong come back in mid afternoon deals to touch a high of 68.31 before ending at 68.3450, showing a modest gain of 4 paise.

USD/INR as on 01st December, 2016

Currency

OPEN

HIGH

LOW

CLOSE

USDINR

68.4800

68.5100

68.3100

68.3450

Highest till date: 68.8650 on 24th November, 2016

 

Forward premium(%) as on 01st December, 2016

Periods

1 Mth

3 Mth

6 Mth

12 Mth

Premiums

3.58/3.92

3.86/3.98

4.05/4.11

4.19/4.22










 

 

USD/INR Cash/Tom/Spot Levels: (in Paisa)                                      

(Updated as on 02nd December, 2016 @10.00am)  

 

 Cash/Spot: 3.00/4.50       Cash/Tom:  2.00/3.00

  Tom/Spot:   0.50/1.50       Spot/Next:  0.50/1.50

 

Cash Date:     02nd  December, 2016

Tom Date:      05th  December, 2016  

Spot Date:     06th  December, 2016  

 

 

MAJOR WORLD CURRENCIES: as on 01st December, 2016

USD: The dollar fell on Thursday against a basket of currencies as traders booked gains following a solid November on bets of a stronger U.S. economy under a Trump administration and on caution ahead of Friday's government payrolls report. The dollar index, which measures the greenback versus a basket of six currencies, fell 0.4 percent to 101.06. It reached a 13-1/2-year peak of 102.05 last week, and for the month of November it gained 3.1 percent.

EUR: The euro strengthened on Thursday after Reuters reported the European Central Bank will extend its bond purchases beyond next March and consider sending a formal signal next week that the asset purchase program will eventually end. The euro was boosted further after French President Francois Hollande said he will not seek a second term, a move seen paving an easier path for conservative Francois Fillon to defeat Marine Le Pen, head of the National Front party, in 2017. EURUSD was up by 0.75 percent to close at 1.0660.

GBP: Sterling rose sharply on Thursday against the greenback on a perceived crack in Britain's "hard Brexit" line on leaving the European Union after Brexit minister David Davis said Britain would consider paying into the EU budget for market access. The pound rose to a three-week high against the dollar to touch 1.2695, before closing at 1.2591, showing a gain of 0.87 percent.

GOLD: Gold prices ended modestly lower on Thursday and sunk to fresh 10-month low. The technical postures for gold market remain solidly bearish. Fundamentally, traders and investor optimism remain generally upbeat and that’s also negative for safe-haven gold.

Outlook for the day (02nd         December, 2016)

USD/INR is expected to trade in a range between 68.25 and 68.50 with higher bias. Major currencies are expected to be range bound against the Greenback.

 

MAJOR WORLD CURRENCIES:

as on 01st December, 2016

 

CURRENCY

OPEN

HIGH

LOW

CLOSE

EUR/USD

1.0588

1.0668

1.0582

1.0660

GBP/USD

1.2504

1.2695

1.2498

1.2591

AUD/USD

0.7384

0.7421

0.7366

0.7414

USD/JPY

114.44

114.82

113.79

114.08


Foreign Currencies

(Updated: 17:30 hrs. on 01st December, 2016)

 

USD/INR: 68.3450

Against

USD

INR

1 EUR    =

1.0627

72.63

1 GBP    =

1.2653

86.48

100 JPY  =

0.8739

59.73

1 AUD    =

0.7387

50.49

1 CHF    =

0.9873

67.48


Precious Metals

(Updated: 17:30 hrs on 01st December, 2016)

 

Gold ($/oz)

1167.33

Silver ($/oz)

16.30

 

Stock Indices

(As on  01st December, 2016)

 

Index Close

30th November

01st December

BSE Sensex

26652.81

26559.92

NSE Nifty

8224.50

8192.90

Dow Jones

19123.58

19191.93

NASDAQ

5323.68

5251.11

 

Major Economic Data Releases for the Day

Date

Region

Time(IST)

Description

02.12.16

EUR

01:30 PM

Spanish unemployment change

02.12.16

GBP

03:00 PM

Construction PMI

02.12.16

USD

07:00 PM

Average hourly earnings m/m

Non-farm employment change

The views contained herein are those of individuals and not necessarily those of the Bank.  This is for information purpose only and no recommendations are intended.  While due care has been taken in preparation of this communication, IOB cannot be held responsible for any consequences of any decisions based on this information. Comments/Suggestions may be freely emailed to feddeal@iobnet.co.in