Trending flat: Rupee opens at 65.56/$

The currency touched a high and low of 65.79/$ and 65.89/$ respectively. On macroeconomic front, output of India’s eight core sectors grew 2.6% in August, compared with the reading of 1.1% during the previous month

Indian rupee today opened at 65.56/$ in early trade on Thursday. Yesterday, rupee bolstered against major currencies, buoyed by the strength in equity markets and sharp fall in sovereign bond yields. The central bank mentioned that the prevalent conditions meet the criteria for further monetary easing, manifested by sharp fall in inflationary pressure, contained food prices and delay in the rate hike by US Federal Reserve.

On macroeconomic front, output of India’s eight core sectors grew 2.6% in August, compared with the reading of 1.1% during the previous month. US indices managed to notch up gains. Asian markets are also higher. Investors will now look at the PMI numbers and auto sales figures to get some sense of how the economy is doing.

On Wednesday, the Indian currency ended at 65.57/$, higher by 39 paise. The currency touched a high and low of 65.79/$ and 65.89/$ respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 65.74 and for Euro stood at 73.79 on September 30, 2015. While, the RBI’s reference rate for the Yen stood at 54.80, the reference rate for the Great Britain (GBP) stood at 99.5331.