Rupee erases gains, trades flat against US dollar


Mumbai: Indian rupee erased all the morning gains and was trading little changed against the US dollar in the mid-day trade.

At 2pm, the home currency was trading at 64.65 against the dollar, down 0.04% from its Wednesday’s close of 64.60. The rupee opened at 64.53 a dollar and touched a high of 64.48.

The BSE benchmark index fell 0.04%, or 12.01 points, to 33,588.26. So far this year, the Sensex has gained 26.19%.

The 10-year bond yield was at 6.879% compared to its previous close of 6.893%. Bond yields and prices move in opposite directions.

So far this year, the rupee has gained 5%, while foreign institutional investors have bought $5.81 billion and $22.54 billion in equity and debt, respectively.

Asian currencies were trading higher on speculation the US Federal Reserve will continue with its gradual approach to tightening. Bloomberg reported that Jerome Powell was likely to get the top job at the US central bank.

Philippines peso was up 0.39%, Indonesian rupiah 0.18%, Malaysian ringgit 0.1%, Singapore dollar 0.07%, Japanese yen 0.07%. However, Taiwan dollar was down 0.16%, China renminbi 0.07%.

The dollar index, which measures the US currency’s strength against major currencies, was trading at 94.65, down 0.17% from its previous close of 94.815.