(Photo: Ramesh Pathania/Mint)
(Photo: Ramesh Pathania/Mint)

Rupee closes marginally higher, 10-year bond at 7.038%

  • The dollar index was at 96.757, down 0.02% from previous close
  • The rupee 0.29% from its previous close of 69.65

Mumbai: Indian rupee on Tuesday strengthened marginally against US dollar tracking gains in Asian currencies market amid an absence of any further worsening of US-China trade tensions

The rupee ended at 69.45 a dollar, up 0.29% from its previous close of 69.65. The Indian had currency opened at 69.44 a dollar.

The benchmark Sensex index was up 0.42% at 39,950.46 points. Year to date, the index has risen 11.77%.

The 10-year bond yield closed at 7.038% compared with Monday's close of 7.077%.

Traders await consumer price inflation (CPI) and index of industrial production (IIP) data, which will be released on 12 June. According to Bloomberg analyst estimates, retail inflation for May is likely to be at 3.05%, up from 2.92% a month ago. IIP growth is seen at 0.8% in April against -0.1% in March.

Traders also await the Union Budget, which will be presented on 5 July, for the government’s fiscal deficit target and the borrowing calendar for 2019-20.

The yen weakens against most of its major peers as a stronger-than-expected yuan fixing helped ease concern about an escalation in US-China trade tensions.

South Korean won was up 0.37%, Philippines peso 0.37%, China renminbi 0.29%, Thai Baht 0.24%, China Offshore 0.22%, Singapore dollar 0.13%, Hong Kong dollar 0.1%, Indonesian rupiah 0.08%, Taiwan dollar 0.08%. However, Japanese yen was down 0.23%.

The dollar index, which measures the US currency’s strength against a basket of major currencies, was at 96.757, down 0.02% from its previous close of 96.761.

(Bloomberg contributed this story)

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