Rupee Opens Stronger Against Dollar; Hits Two-week High

The Indian rupee opened at a strong note as the week commences propelled by better oil prices which have dropped in price significantly to levels of $67 per barrel after there is been news to ease oil output by both Russia and Saudi Arab plus as the US-Korea summit now is back on track.

RBI's intervention at the domestic level has also been a factor providing strength to the currency.

The currency opened stronger at 67.50 against a dollar and then strengthened to reach a 67.45 mark, last recorded on May 11. At 9:15 am, the currency was seen trading higher by 0.43% against previous day's close of 67.77.

In line, the benchmark 10-year bond yield also softened from the levels of 7.797% to 7.742%.

Asian currencies were also trading higher. Rupiah currency of Indonesia was higher by 0.86%, Taiwan dollar strengthened by 0.21, Singapore dollar also gained 0.21% but Japanese yen and Malaysian ringgit were trading down.

In the ongoing year so far, the rupee currency has weakened by as much as 5.3% at the same time dollar index that is a measure of US dollar's strength against global currencies declined by 0.29% to 93.978.

The GDP as well as fiscal deficit numbers due to be released this week will give direction to the rupee movement which is expected to trade in the range of 67.30-67.80.

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