Rupee trades a tad higher at 82.62 a dollar ahead of macro data, rise in Asian currencies

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The rupee opened marginally higher against the dollar in a thinly traded volume ahead of the key economic data due later this week.

At 9.15am, the home currency was trading at 82.62 a dollar, up 0.03 percent from its previous close of 82.63.

The rupee stayed within a limited range, influenced by positive sentiment in domestic markets and an increased risk appetite. The Chinese yuan’s stabilisation due to intervention reduced pressure on the emerging market currencies. The rupee is also supported by positive FII and FDI flows. This week, the rupee’s movement will be linked closely to India’s GDP figures and the US economic data.

“With the RBI intervention and other supporting factors, as the upside in USDINR looks limited to 82.75-83.00 levels and higher chances of the pair breaking below 82.50 and moving towards the 82.00 levels, we suggest exporters remain hedged and importers hold patience,” CR Forex said in its note.

The dollar fell as traders awaited key US economic data that may provide further insight into the Federal Reserve’s interest rate path.

Asian currencies were trading higher. Philippine peso rose 0.32 percent, Singapore dollar 0.2 percent, Indonesian rupiah and Thai Baht advanced 0.17 percent each, South Korean won, Taiwan dollar and Japanese yen rose 0.12 percent each, while China Offshore and Malaysian ringgit gained 0.1 percent.

The dollar index, which measures the US currency’s strength against major currencies, was trading at 103.87, down 0.18 percent from its previous close of 104.06.

With inputs from Bloomberg 

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