Rupee opens weaker ahead of CPI, IIP data

Mumbai: Indian rupee weakened against US dollar tracking losses in Asian currencies and ahead of the key retail inflation and index of industrial production data due after 5.30pm on Monday.

At 9.15am, the home currency was trading at 72.74 a dollar, down 0.33% from its Friday’s close of 72.50. The currency opened at 72.68 a dollar.

According to Bloomberg estimates that consumer price inflation will be at 3.6% for October against 3.77% a month ago. IIP for September is likely to remain unchanged at 4.3% from a month ago.

The 10-year government bond yield stood at 7.787% from its previous close of 7.763%. Bond yields and prices move in opposite directions.

Benchmark Sensex rose 0.31% or 109.60 points to 35,268.15 points. Year to date, it has rose 3.23%.

So far this year, the rupee has declined 12%, while foreign investors have sold $5.68 billion and $7.74 billion in the equity and debt markets, respectively.

Asian currencies were trading lower. Indonesian rupiah was down 0.41%, South Korean won 0.28%, Philippines peso 0.21%, Taiwan dollar 0.19%, Malaysian ringgit 0.15%, Japanese yen 0.13%, Thai Baht 0.05%.

The dollar index, which measures the US currency’s strength against major currencies, was trading at 96.985, up 0.08% from its previous close of 96.905.