The rupee traded green by marginally opening higher
against the dollar on October 25. At 9.10 am, the home currency was trading at
83.09 a dollar, up 0.11 per cent from its previous close of 83.19.
Rupee’s upsurge since last week can be attributed to
RBI interventions. Foreign investors like Macquire and KKR are likely to raise
about $1 billion for their Indian projects, which could bring in more inflow.
The dollar dropped to 105.40 as US bond markets improved
from a 5 per cent 10-year Treasury yield.
But the dollar rebounded past 106 due to strong US
PMIs and positive corporate earnings. Preliminary US Manufacturing and Service
PMIs show a rebound, with manufacturing in expansion for the first time since
May 2023.
China’s top Parliament agreed to a 1 trillion yuan
($137 billion) bond issue, State media reported adding the funds would be spent
rebuilding disaster zones and improving infrastructure.
Asian currencies were trading mixed. Malaysian ringgit
was up 0.18 per cent, Singapore dollar 0.1 per cent while Japanese yen and Thai
Baht were up 0.06 per cent and 0.04 per cent.
While, the South Korean won fell 0.35 per cent, Taiwan
dollar 0.23 per cent, while the Indonesian rupiah and Philippines peso lost
0.11 per cent each.
The dollar index, which measures the US currency’s
strength against major currencies, was trading at 106.164, down 0.1 per cent
from its previous close of 106.27.
Agencies
