Rupee Witnesses Yet Another Low Against US Dollar

The Indian rupee witnessed yet another new opening low against US Dollar on Thursday as the greenback rallied after Chair Jerome Powell stated the US Federal Reserve may lower rates this year. Rupee opened flat at Rs 83.43 in morning trade today against the US Dollar.

Earlier on Wednesday, Rupee closed at Rs 83.43, as per data available from Bloomberg.

The rupee slipped to an all-time low of 83.45 last week, as per Reuters report.
Foreign banks were seen offering dollars in early trading which helped ease some of the pressure on the rupee, a foreign exchange trader at a state-run bank said. Still, the rupee is likely to "continue depreciating slowly" in the near-term, Apurva Swarup, vice president at Shinhan Bank India said, reported Reuters.

U.S. bond yields also slipped after rising initially as U.S. private payrolls rose more than expected in March. The 10-year U.S. Treasury yield rose to a peak of 4.42%, its highest level since late-November, on Wednesday but was last at 4.36%.

It is important to note that oil too surged towards the 5-month high as OPEC+ confirmed that would also maintain its current supply cuts through the end of June, according to reports.

Expectations of a June rate cut by the Fed were largely unchanged at slightly above 60% following the remarks. Most Asian currencies ticked up with the Malaysian ringgit, up 0.3%, leading gains, added Reuters report.