THE RUPEE: stable trend

The rupee maintained a firm trend against the dollar on the money market during the week, ended on Sept 14, 2019. The rupee was firm versus the dollar for buying and selling at Rs 156.25 and Rs 156.28.
INTER-BANK MARKET RATES: OPEN MARKET RATES: The rupee gained modestly in relation the dollar for buying and selling at Rs 155.80 and Rs 156.30.
The rupee was available in terms of the euro for buying and selling at Rs 171.80 and Rs 173.50.
Marketmen said that the rupee strengthened versus the dollar owing to easy supply of the greenback. The rupee may move both ways in relation to the greenback in the coming days, they said.
INTER-BANK MARKET RATES: On Wednesday, the rupee gained slightly versus the dollar for buying and selling at Rs 156.28 and Rs 156.32. On Thursday, the rupee picked up about nine paisas versus the dollar for buying and selling at Rs 156.19 and Rs 156.21. On Friday, the rupee shed slight gains versus the dollar for buying and selling at Rs 156.25 and Rs 156.28.
OPEN MARKET RATES: On Sept 11, the rupee was unchanged in relation the dollar for buying and selling at Rs 156.20 and Rs 156.70, they added. The rupee was also inert in terms of the euro for buying and selling at Rs 171.50 and Rs 173.50, they said.
On Sept 12, the rupee followed the suit in relation the dollar, picking up 20 paisas for buying and selling at Rs 156.00 and Rs 156.50. Whereas, the rupee was unchanged in terms of the euro for buying and selling at Rs 171.50 and Rs 173.50.
On September 13, the rupee, however, picked up 10 paisas in relation the dollar for buying and selling at Rs 155.90 and Rs 156.40, they added.
Whereas, the rupee lost 80 paisas in terms of the euro for buying and selling at Rs 172.30 and Rs 174.30, they added.
The rupee gained 10 paisas in relation the dollar for buying and selling at Rs 155.80 and Rs 156.30, they added.
Whereas, the rupee picked up 50 paisas in terms of the euro for buying and selling at Rs 171.80 and Rs 173.50, they added.
OVERSEAS OUTLOOK FOR DOLLAR: In the first Asian trade, the euro was on the back foot on Monday ahead of a European Central Bank meeting later this week at which policymakers are expected to deliver new stimulus to bolster a flagging regional economy.
The dollar index against a basket of six major currencies rose 0.03%
to 98.447. The dollar traded at 106.96 yen, up 0.04% from Friday.
In the second Asian market: the dollar drifted lower on Tuesday as investor appetite for higher risk currencies found support on a report of German stimulus plans, diminishing chances of a no-deal Brexit and hopes of a breakthrough in the Sino-US trade war.
The mood lifted the Australian dollar to a six-week high of $0.6875 and the pound also hit a six-week high of $1.2385 as a British law blocking a no-deal exit from the European Union came into force.
The safe-haven yen touched a five-week low of 107.46 per dollar as risk appetite rose.
In the third Asian trade, the dollar steadied on Wednesday as investors appetite for risk showed cautious improvement and the yen weakened in the shift away from safe havens, but currencies kept to tight ranges ahead of a series of major central bank meetings over the next week.
Investor focus for now is centred on the European Central Bank's meeting on Thursday. Expectations it will push interest rates even further into negative territory have weighed on the euro, which has shed 3% since June.
The dollar index was steady at 98.332.
The dollar was trading against the Indian rupee at Rs 71.713. The greenback was at 4.175 in terms of the Malaysian ringgit and the US currency was available at 7.112 versus the Chinese yuan.
In the fourth Asian trade, the dollar rose to a six-week high against the safe-haven yen on Thursday after an exchange of olive branches between Washington and Beijing on trade stoked investors' appetite for risk.
Export-driven Asian currencies from Taiwan to Australia rallied on the buoyant mood as the world's two largest economies each granted concessions in their heated tariff dispute.
The improved sentiment comes in an otherwise cautious week in foreign exchange, as investors await a key European Central Bank meeting later on Thursday, at which policymakers are expected to ease policy to support flagging growth.
China on Wednesday exempted a basket of US goods from its tariffs, while US President Donald Trump said in a tweet he would delay a scheduled tariff hike by two weeks in October.
The dollar was trading against the Indian rupee at Rs 71.373, the greenback was at 4.170 versus the Malaysian ringgit and the US currency was available at 7.087 in terms of the Chinese yuan.
In the final Asian trade, the yen was pinned near a six-week low versus the dollar on Friday as signs the United States and China were narrowing their differences over trade ahead of key talks decreased demand for safe haven assets.
That nudged the yuan up to near four-week highs against the US currency in offshore trade, while the euro held steady after swinging wildly on Thursday following the European Central Bank's surprise decision to resume government debt purchases from November to support a flagging economy.
In the very short-term, guarded optimism about a resolution to the US-China trade war should continue to push Treasury yields higher and weigh on safe-haven currencies.
However, this confidence could be short-lived as the US Federal Reserve is widely expected to cut interest rates next week while the ECB's easing places pressure on the Bank of Japan to follow suit.
The dollar was available against the Indian rupee at Rs 70.965 and the greenback was available at 4.162 in terms of the Malaysian ringgit.
In the final US trade, the euro gained against the dollar on Friday for the second day after the European Central Bank on Thursday exempted euro zone banks from a penalty charge, which analysts say will reduce the currency impact of new stimulus.
The ECB on Thursday cut its deposit rate to a record low -0.5% from -0.4% and said it will restart bond purchases of 20 billion euros a month from November. The purchases will run for as long as necessary and end shortly before it starts raising the key ECB interest rates.
It also said that euro zone banks will be exempted from paying a penalty charge on idle cash worth six times their mandatory reserves.
The single currency initially dropped on the new stimulus, testing more than two-year lows, before dramatically changing direction.
By exempting banks from the penalty charge the ECB aims to minimize stress in financial institutions that have been harmed by years of low rates.
The euro was last up 0.20% at $1.1083 The single currency fell as low as $1.0925 immediately after the ECB decision on Thursday.