- Indian Rupee (INR) rises despite domestic equities falling
- Oil prices fall for a second day
- US Dollar (USD) falls but set for weekly gains
- US consumer sentiment data is due later
The US Dollar Indian Rupee (USD/INR) exchange rate is falling on Friday for a second straight day. The pair settled -0.3% lower on Thursday at 76.30. At 10:30 UTC, USD/INR trades -0.2% at 76.15. The pair is on track to gain 0.15% this week.
The Rupee is gaining ground despite domestic equities falling. The Sensex trades -0.5% lower, and the Nifty 50 -0.4% after a volatile week.
Oil prices have also seen heightened volatility. Oil trades 4% lower across yesterday and today, but is still on track for 4% gains across the week.
Oil prices have slipped lower at the end of the week as the European Union is still divided over whether to impose sanctions on Russian oil.
West Texas Intermediate trades at $110 per barrel, down from highs of $116 per barrel earlier in the week.
The US Dollar is rising across the board. The US Dollar Index, which measures the greenback versus a basket of major currencies trades -0.17% at the time of writing at 98.64 snapping a two-day winning run. The USD is on track to rise 0.4% across the week.
The US dollar has had a soring week this week after Federal Reserve officials have been out in force supporting a more hawkish stance from the US central bank in order to tame elevated inflation.
US economic data was also upbeat boosting demand for the greenback. Data revealed that US business activity unexpectedly rose in February thanks to robust demand for both manufacturing and services. The US composite PMI came in at 58.5, up from 55.9 in February. The level 50 separates expansion from contraction.
US jobless claims were also strong falling to the lowest level since 1969 amid tightness in the US labor market.
Today, attention will now turn to US consumer confidence data due later. Expectations are for sentiment to slip lower to 59.7 in March from 62.8 in February.
