Rupee Closes At Its Highest Level In 3 Months; Nears 74.50 Per US Dollar

The domestic currency rupee has been gaining ground for quite a while and it has been a second straight day of gains for the unit today (July 3, 2020), which closed at 74.64 per US dollar against previous day's close of 75.01.

Rupee Closes At Its Highest Level In 3 Months; Nears 74.50 Per US Dollar

During the day, the rupee made a high of 74.59 per US dollar tracking weakness in the dollar and strength in the domestic equities amid positive sentiment around Covid 19 treatment.

Dollar index which measures the greenback's strength against a basket of major currencies declined 0.11% to 97.195.

Zydus Cadila's potential Covid 19 vaccine got a DCGI approval for human clinical trials.

Traders in the forex market said investors are turning bullish on emerging market assets, cheering vaccine outcome reported by Pfizer. Also, firm domestic equities, steady oil price and softer US dollar are aiding the local currency's strength.

On a weekly basis too, the Indian rupee posted second straight week of gains, with upward momentum this week being the best in 2 months. Among its Asian peers, on a weekly basis rupee ranks as the best performer for the week ended July 3, 2020.

Meanwhile on a global level, corona cases have peaked 1.08 crore while deaths stand at 5.2 lakh. In India the count of corona cases has touched over 6.25 lakh mark while deaths topped 18,213 as per the official data.

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