Rupee opens marginally higher against US dollar

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Mumbai: The Indian rupee on Friday was trading marginally higher against the US dollar in the opening trade.

The rupee opened at 65.49 a dollar. At 9.15am, the home currency was trading at 65.50, up 0.04% from its previous close of 65.53.

India’s current account deficit (CAD) jumped to a four-quarter high of 1.4% of gross domestic product (GDP) in the December quarter from 0.6% of GDP in the September quarter as trade deficit widened. In the same quarter (October-December) a year ago, India posted a CAD of $7.1 billion, or 1.4% of GDP.

So far this year, rupee gained 3.8%, while foreign institutional investors have bought $4.60 billion and $3.03 million from local equity and debt markets, respectively.

The benchmark Sensex index rose 0.03% or 10.26 points to 29,342.42. So far this year, it has risen 10.2%.

The 10-year bond yield was trading at 6.823%, compared to its Thursday’s close of 6.829%. Bond yields and prices move in opposite directions.

Asian currencies were trading lower. Japanese yen was down 0.31%, Thai baht 0.23%, Singapore dollar 0.14%, China Offshore 0.13%, China renminbi 0.09%. However, Philippines peso was up 0.13%.

The dollar index, which measures the US currency’s strength against major currencies, was trading at 99.955—up 0.19% from its Monday’s close of 99.76.