The tiny Central American nation of El Salvador has embarked on an interesting experiment by recognising bitcoin as legal tender. This is proving painful for many of its citizens but it's a useful "pilot" project for larger economies that are contemplating the peculiarities of this new asset class. El Salvador has a population of 6.5 million and GDP of about $27 billion.
Sustained rise in equity markets in view of progress in monsoon mainly boosted the rupee value against the dollar.
Snapping its 3-day winning spree against the American currency, the rupee on Wednesday dropped by 21 paise to end at 66.64 on fag-end dollar demand from banks and importers despite a sharp rally in domestic equities.
Forex dealers said besides continued demand for the American currency from importers, increased capital outflows by foreign funds kept pressure on the rupee.
Heavy offloading by foreign portfolio investors also weighed on the rupee
The rupee had lost 10 paise to close at 21-month low of 64.26 against the greenback in Tuesday's trade.
The rupee snapped its two-day winning run against the dollar.
'The Ruble is now down 50 per cent and worth less than one American penny since Putin announced his war'
The rupee has lost 37 paise or 0.55 per cent in two days.
A weak dollar sentiment across the board alongside unwinding of long positions by speculative traders ahead of key US macro data release largely supported the rupee
This is the biggest one-day fall in the rupee since August 3, 2016
Robust foreign capital inflows into upbeat domestic equity markets on the back of better macro fundamentals helped the rupee to gain
On Friday, the rupee had gained 9 paise to close at a fresh one-week high of 67.08.
Adequate dollar supply gave a boost to the local currency
Traders said appreciating rupee against the American currency made imports of dollar denominated precious metal cheaper, which mainly kept pressure on bullion prices.
The Centre is unlikely to announce an agreement over payment mechanism with Russia until a ceasefire is declared in the Ukraine war, said people in the know. An inter-ministerial group headed by the finance ministry has been meeting regularly for over a month to analyse and discuss payment mechanisms that can work under the current circumstances and ensure the trade between India and Russia is not disrupted. The US had recently said that there would be consequences for countries actively attempting to "circumvent or backfill" American sanctions against Russia.
There's sustained demand for the American currency from importers and banks
Weakness of dollar in the overseas market also boosted the rupee value.
Persistent foreign capital inflows also boosted sentiment.
gold prices fell by Rs 210 to Rs 26,600 per 10 grams.
Weakness in dollar in the overseas market also boosted the rupee value
Dollar's strength against other currencies overseas capped the rupee's gain
Silver also rose sharply by Rs 640 to Rs 35,700 per kg.
Silver also extended its rally for the eighth day.
Forex dealers said that weakness in the dollar against other currencies overseas also supported the rupee.
The domestic unit moved in a range of 64.14 and 63.99.
The dollar strengthened against major world currencies.
Forex market was shut on Tuesday on account of 'Mahavir Jayanti'.
The local currency had lost 119 paise in the past five sessions on rising worries over current account gap and fears that withdrawal of US stimulus will hit inflows from overseas.
The rupee had gained by 50 paise or 0.75 per cent in two weeks.
The gains were capped due to month-end dollar demand from importers, mainly oil firms
Sitharaman also said different departments of the government are working to provide relief to industry, which could be severely impacted by the fast-spreading virus.
In the global market, the US dollar index, which tracks the greenback against a basket of six major rivals, was up by 0.33 per cent.
Sustained capital inflows supporting the rupee sentiment, a forex dealer said.
Even the persistent rise in equity market failed to restrict the rupee's fall.
The rupee ended the day stronger against the dollar.
The speed at which he led the central bank in different areas -- ranging from internal reorganisation to inflation fighting, stabilising the currency, taking on rogue corporations, cleaning up bank balance sheets, and opening the sector -- makes one believe that Rajan knew he had only three years to do his job. A fascinating excerpt from Tamal Bandyopadhyay's MUST-READ Roller Coaster: An Affair with Banking.
The rupee has dropped by 21 paise or 0.32 per cent in the last two sessions.
Forex dealers said dollar's weakness against other currencies overseas supported the rupee.
The rupee depreciated further by 7 paise to 65.12.
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