The NSE Nifty ended 89.40 points, or 0.83 per cent, lower at 10,710.45.
Prices are sustainable and not just driven by speculative gains
'The impact of COVID-19 on the economy has been so overwhelming that even a significant drop in global oil prices, which in normal times would have brought cheer, has posed new challenges for the government,' observes A K Bhattacharya.
India imports about 25 million tonnes of oil from Iraq each year.
Petrol and diesel prices are likely to be cut by close to Re 1 per litre this weekend on sliding global oil rates.
US commercial crude oil stocks were forecast to have risen by 3 million barrels last week
Overall forex market sentiment remained cautious
The US #DeepState has had a fine run, but will now discard Saudi Arabia as it is no longer useful to them, says Rajeev Srinivasan.
Benchmark Brent oil futures prices more than halved between June 2014 and January 2015.
The rupee had dropped by 18 paise to end at 66.40
Jet fuel (ATF) rates were on slashed by a steep 12.5 per cent, the sixth straight reduction in prices since August, as international oil prices slumped to five-year low levels.
Achieving inflation target of 4 per cent, recovery after remonetisation and hardening profile of oil prices are some of the risks which the RBI is watching closely, says Gaurav Kapur.
'A 2018 murder may lead to shifts in the geopolitical order and impact at least one monarchy,' says Devangshu Datta.
Dollar weakness was a major contributor to the rupee recovery as the skittish investors continued to lighten their long positions.
Dealers attributed the rupee's fall to fresh demand for the US currency from importers
The US currency's decline against major world currencies alongside fag-end dollar supply largely helped the rupee recoup some of its initial losses
'We began foolishly bragging about Saudi-Emirati investment plans as indicative of the sheikhs 'distancing' from Pakistan, including on Kashmir,' notes Ambassador M K Bhadrakumar.
The NSE Nifty cracked below the 10,800-mark to hit a low of 10,753.05 intra-day, before closing at 10,762.45 with a loss of 59.40 points, or 0.55 per cent.
In worldwide trade, the US dollar continued its highly bullish trend against all major emerging market currencies
The broader NSE Nifty index too finished lower by 4.80 points, or 0.05 per cent, at 10,632.20.
A realistic approach towards tax and stock taking is necessary, rather than the old narrative of bringing all petroleum products under GST and playing the blame-the-state game.
Just as very high oil prices looked an anomaly in a sluggish world, so now do record high equities.
The dollar maintained its bullish momentum in Asian and early European trade
Sluggish domestic equities and persistent capital outflows largely pressurised the Indian unit
Overall forex market sentiment suffered a sudden reversal of fortune contrary to expectation largely moving in line with local equities, reversing all early strong gains.
A weakening dollar against other currencies overseas supported the rupee.
Robust capital inflows alongside a slightly weaker greenback too reinforced the dominance of the home currency
Investors will keenly watch US Fed meet starting Tuesday
The broader NSE Nifty, after cracking below the key 10,300-mark, touched a low of 10,211.25, before finally ending 134.75 points, or 1.30 per cent, down at 10,226.55.
In the last policy review in December, RBI had decided to keep policy rate unchanged.
The Indian currency had appreciated by a whopping 85 paise in three-day surge
Falling sales since demonetisation has alarmed CEOs, who want to save cash till the economy recovers.
Crude oil hit an all time high in rupee terms; Tuesday figures expected to be higher
The rupee had dropped by 60 paise or 0.89 per cent in previous three trading days.
Wholesale inflation shot up to a 30-month high of 5.25 per cent in January as rising global crude oil prices spiked domestic fuel cost, even as food prices moderated.
Lacklustre domestic equities alongside ongoing FCNR redemptions added pressure on the local currency
Brent crude was trading at $105 a barrel on Friday while US oil was at $96.75.
Plenty of other factors are likely to keep a lid on prices.
Sustained dollar unwinding from exporters and banks amid weak overseas trend gave a boost to the rupee
'The surge of Saudi nationalism is the last thing Washington wants,' says Ambassador M K Bhadrakumar.
