Rupee Closed Higher Boosted By Local Equities

Rupee Closed Higher Boosted By Local Equities

02 Jun 2020 04:23 PM

Financial Market Overview

Indian Rupee

  • The Indian rupee rose to 75.3625/75.3725 to the dollar against 75.54/75.55 in the previous session, boosted by gains in local equities despite Moody’s downgrade of the country’s long-term credit rating.
  • The benchmark 6.45% bond maturing in 2029 ended at 103.19 rupees, yielding 6.00%, against 102.87 rupees and 6.04% yield at the previous close, on value purchases by investors after yield rose as Moody's downgraded sovereign ratings.

Indian Equities

  • The Sensex finally closed 522 points or 1.57% higher at 33,825.53 while the Nifty settled 152.95 points or 1.56% higher at 9,979.10.
  • Kotak Mahindra Bank, Gail, HDFC, Power Grid Corp, Vedanta, Axis Bank, Adani Ports, ICICI Bank were gainers in the Nifty, rising between 2.80%-7.52%.

Global Markets

  • Asian markets finished broadly higher today with shares in Japan leading the region. The Nikkei 225 is up 1.19% while Hong Kong's Hang Seng is up 1.11% and China's Shanghai Composite is up 0.20%.
  • European markets are sharply higher today with shares in Germany leading the region. The DAX is up 3.81% while France's CAC 40 is up 2.08% and London's FTSE 100 is up 1.12%.
  • The dollar was at multi-month lows against most major currencies following a 5% drop for its main index in recent weeks.
  • Brent oil rose another 2% to just over $39 a barrel. Traders are expecting major producers to extend output cuts at an OPEC+ meeting later in the week. U.S. crude was up 1% at $35.86 a barrel.