Latest news with #BofAResearch
Economic Times
23-05-2025
- Business
- Economic Times
Outflows, decline past key technical level pushes rupee to one-month low
Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads The Indian rupee declined to a more-than-one-month low on Thursday, pressured by likely outflows from local equities and the breach of a key technical support level that triggered stop-losses on speculative long South Asian currency closed at 86.0025 against the U.S. dollar, down 0.4% on the day. It fell past a key support level of 85.80 to hit a trough of 86.1025 during the session, its lowest since April bids from foreign banks and one large state-run lender, likely on behalf of their clients, also weighed on the rupee, traders benchmark equity indexes, the BSE Sensex and Nifty 50 closed lower by around 0.8% each on the day, tracking losses in global uptick in the dollar index also weighed on the currency and its regional peers in the afternoon rupee is down about 1.5% over May so far, lagging most regional peers. Traders say that despite broad weakness in the dollar, strong demand from local companies and foreign banks for the greenback has weighed on the the medium-term though, BofA Research expects the rupee to track the dollar's weakness and get support from improving capital inflows and trade engagement. The firm has joined peers in turning more bullish on the about U.S. trade policies combined with worries over the U.S. fiscal outlook has weighed on the dollar, Treasuries and equities.U.S. President Donald Trump's sweeping tax and spending bill, up for a vote later in the day, would add $3.8 trillion over the next decade to the current debt of $36.2 trillion."U.S. equity futures and Treasuries are stabilising this morning, but the risks of another rough session for U.S. markets remain tangible," ING Bank said in a note.
News18
22-05-2025
- Business
- News18
Rupee Falls 37 Paise To Close At 85.96 Against US Dollar: What Is Year-End Target?
Last Updated: Forex traders say surging US bond yields are rattling global investors. Moreover, the narrowing yield differential between India and US, is making Indian assets less attractive. Rupee depreciated 37 paise to close at 85.96 (provisional) against the US dollar on Thursday, on dollar demand from importers and foreign banks as well as surge in crude oil prices. Forex traders said surging US bond yields are rattling global investors. Moreover, the narrowing yield differential between India and the US, is making Indian assets less attractive. Besides, elevated crude oil prices amid rising geopolitical tensions in the Middle East, further dented investor sentiments. At the interbank foreign exchange market, the rupee opened at 85.59 then touched an intra-day high of 85.58 and a low of 86.11 against the US dollar. The domestic unit settled for the day at 85.96 (provisional), lower by 37 per cent over its previous close. On Wednesday, the rupee settled at 85.59 against the greenback. In the last three trading sessions, the rupee has declined 54 paise. 'The Indian rupee has ebbed for a third straight session, influenced by importers' appetite for the dollar and the unwinding of short positions after a key technical level was breached," said Dilip Parmar, Senior Research Analyst, HDFC Securities. Parmar further added that 'a prevailing inclination towards risk aversion, alongside carry trades involving the Japanese yen, additionally exerted downward pressure on the domestic rupee". Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading higher by 0.25 per cent at 99.80. Brent crude, the global oil benchmark, fell 1.45 per cent to USD 63.97 per barrel in futures trade. 'The spot USDINR rate has retraced to its 100-day simple moving average in today's session. Advancement beyond the 86.11 threshold might propel it into the 86.30 to 86.45 spectrum. Conversely, the 85.60 mark now acts as a prospective support," Parmar said. In the domestic equity market, the 30-share BSE Sensex declined 644.64 points, or 0.79 per cent, to close at 80,951.99, while the Nifty fell 203.75 points, or 0.82 per cent, to 24,609.70. Rupee-Dollar Exchange Rate: What Is Year-End Target? BofA Research expects the Indian rupee to strengthen to 84 per US dollar by December 2025 from a prior forecast of 87, joining peers in turning more bullish on the currency amid improving capital inflows and trade engagement. BofA expects the rupee to track broader weakness in the US dollar and be supported by stable domestic fundamentals, it said on Thursday, adding that the Reserve Bank of India's (RBI) pro-growth stance is likely to attract renewed equity inflows. (With Inputs from Agencies) First Published:
Time of India
22-05-2025
- Business
- Time of India
Outflows, decline past key technical level pushes rupee to one-month low
The Indian rupee declined to a more-than-one-month low on Thursday, pressured by likely outflows from local equities and the breach of a key technical support level that triggered stop-losses on speculative long bets. The South Asian currency closed at 86.0025 against the U.S. dollar, down 0.4% on the day. It fell past a key support level of 85.80 to hit a trough of 86.1025 during the session, its lowest since April 11. Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like War Thunder - Register now for free and play against over 75 Million real Players War Thunder Play Now Undo Dollar bids from foreign banks and one large state-run lender, likely on behalf of their clients, also weighed on the rupee, traders said. Play Video Pause Skip Backward Skip Forward Unmute Current Time 0:00 / Duration 0:00 Loaded : 0% 0:00 Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 1x Playback Rate Chapters Chapters Descriptions descriptions off , selected Captions captions settings , opens captions settings dialog captions off , selected Audio Track default , selected Picture-in-Picture Fullscreen This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Text Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Transparent Caption Area Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Drop shadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. India's benchmark equity indexes, the BSE Sensex and Nifty 50 closed lower by around 0.8% each on the day, tracking losses in global peers. An uptick in the dollar index also weighed on the currency and its regional peers in the afternoon session. Live Events The rupee is down about 1.5% over May so far, lagging most regional peers. Traders say that despite broad weakness in the dollar, strong demand from local companies and foreign banks for the greenback has weighed on the rupee. In the medium-term though, BofA Research expects the rupee to track the dollar's weakness and get support from improving capital inflows and trade engagement. The firm has joined peers in turning more bullish on the currency. Uncertainty about U.S. trade policies combined with worries over the U.S. fiscal outlook has weighed on the dollar, Treasuries and equities. U.S. President Donald Trump's sweeping tax and spending bill, up for a vote later in the day, would add $3.8 trillion over the next decade to the current debt of $36.2 trillion. "U.S. equity futures and Treasuries are stabilising this morning, but the risks of another rough session for U.S. markets remain tangible," ING Bank said in a note.
Mint
22-05-2025
- Business
- Mint
Outflows, decline past key technical level pushes rupee to one-month low
MUMBAI, May 22 (Reuters) - The Indian rupee declined to a more-than-one-month low on Thursday, pressured by likely outflows from local equities and the breach of a key technical support level that triggered stop-losses on speculative long bets. The South Asian currency closed at 86.0025 against the U.S. dollar, down 0.4% on the day. It fell past a key support level of 85.80 to hit a trough of 86.1025 during the session, its lowest since April 11. Dollar bids from foreign banks and one large state-run lender, likely on behalf of their clients, also weighed on the rupee, traders said. India's benchmark equity indexes, the BSE Sensex and Nifty 50 closed lower by around 0.8% each on the day, tracking losses in global peers. An uptick in the dollar index also weighed on the currency and its regional peers in the afternoon session. The rupee is down about 1.5% over May so far, lagging most regional peers. Traders say that despite broad weakness in the dollar, strong demand from local companies and foreign banks for the greenback has weighed on the rupee. In the medium-term though, BofA Research expects the rupee to track the dollar's weakness and get support from improving capital inflows and trade engagement. The firm has joined peers in turning more bullish on the currency. Uncertainty about U.S. trade policies combined with worries over the U.S. fiscal outlook has weighed on the dollar, Treasuries and equities. U.S. President Donald Trump's sweeping tax and spending bill, up for a vote later in the day, would add $3.8 trillion over the next decade to the current debt of $36.2 trillion. "U.S. equity futures and Treasuries are stabilising this morning, but the risks of another rough session for U.S. markets remain tangible," ING Bank said in a note. (Reporting by Jaspreet Kalra; Editing by Savio D'Souza)
Reuters
22-05-2025
- Business
- Reuters
Outflows, decline past key technical level pushes rupee to one-month low
MUMBAI, May 22 (Reuters) - The Indian rupee declined to a more-than-one-month low on Thursday, pressured by likely outflows from local equities and the breach of a key technical support level that triggered stop-losses on speculative long bets. The South Asian currency closed at 86.0025 against the U.S. dollar, down 0.4% on the day. It fell past a key support level of 85.80 to hit a trough of 86.1025 during the session, its lowest since April 11. Dollar bids from foreign banks and one large state-run lender, likely on behalf of their clients, also weighed on the rupee, traders said. India's benchmark equity indexes, the BSE Sensex (.BSESN), opens new tab and Nifty 50 (.NSEI), opens new tab closed lower by around 0.8% each on the day, tracking losses in global peers. An uptick in the dollar index also weighed on the currency and its regional peers in the afternoon session. The rupee is down about 1.5% over May so far, lagging most regional peers. Traders say that despite broad weakness in the dollar, strong demand from local companies and foreign banks for the greenback has weighed on the rupee. In the medium-term though, BofA Research expects the rupee to track the dollar's weakness and get support from improving capital inflows and trade engagement. The firm has joined peers in turning more bullish on the currency. Uncertainty about U.S. trade policies combined with worries over the U.S. fiscal outlook has weighed on the dollar, Treasuries and equities. U.S. President Donald Trump's sweeping tax and spending bill, up for a vote later in the day, would add $3.8 trillion over the next decade to the current debt of $36.2 trillion. "U.S. equity futures and Treasuries are stabilising this morning, but the risks of another rough session for U.S. markets remain tangible," ING Bank said in a note.
