Indian Rupee gives back its weekly gains tracking the performance of the government 10-year bond yield. At the interbank market, the value of Rupee depreciated by 22 paise settling down 0.31% at 70.90 against the US dollar. However, the USD/INR exchange rate was seen trading on Thursday within a trading range of 70.64 and 70.92.
The Indian 10-year government bond yield edged lower on Thursday, claiming a third consecutive day of losses. The 10-year Treasury yield settled down 6.598 compared with its previous close of 6.623. During early Asia hours, the 10-year bond yield was seen quoted at 6.622.
In other news, the US Senate approved on Thursday with a vote of 89 – 10 the revised North American Free Trade Agreement NAFTA is revamping up risk sentiment. At the same time, the US Senate kicks off the impeachment proceedings against US President Donald Trump. The market’s risk tone will remain neutral despite easing trade tensions between the world’s two most powerful economies in the world.
Elsewhere, in China, the economy grew at its slowest pace in 29 years. China’s gross domestic product (GDP) figures came in at 6.1% in 2019, in line with the market forecast, the National Bureau of Statistics announced on Friday. The world’s second-largest economy was hammered by the trade tensions.
The dollar index settled up 0.10% at 97.30.
Elsewhere, foreign institutional investors (FIIS) were net sellers of shares in the local equity market worth Rs -395.24 crore; according to the National Stock Exchange of India data published at the end of Thursday’s trading session. At the same time, Domestic institutional investors were net sellers of equities worth Rs -184.65 crore.
The domestic benchmark equity index NIFTY 50 closed near its all-time high settling up 0.10% at 12,355.50 on Thursday. However, during early Asia trading hours on Friday, NIFTY 50 reached a new all-time high was seen quoted at 12,343.05.
Currently, one US dollar buys 70.96 Rupees, up 0.05% as of 8:00 AM UTC.