Reversing earlier gains today. Indian currency fell against the US dollar amid border strain with China. Furthermore, the rupee fell to 76.24 against the US dollar at day’s low. Compared to previous close of 76.03. Meanwhile, the rupee traded in the range of 75.77-76.24. Also, Indian stock markets gave up strong intra-day gains to turn flat in late trade.
Firstly, the rupee opened strong at 75.89 against the US dollar. Secondly, then it gained further ground and touched 75.77 against the US dollar. However, it had settled at 76.03 against the greenback on Monday.
Nevertheless, an Indian Army officer and two soldiers were killed. In a violent confrontation with Chinese troops in the sensitive Galwan Valley in eastern Ladakh. Which took place on Monday night, the Indian Army Forces said.
Hence, the dollar index, fell by 0.09%. Since it gauges the greenback’s strength against a basket of six currencies. Lest, the Fed launched its Main Street Lending Program. And an emergency lifeline under which it will buy up to $750 billion in corporate bonds. Because, it wants to lift global risk sentiment.
Furthermore, foreign institutional investors were net sellers in the capital market. Because, they sold shares worth ₹2,960 Crore on Monday. Which was according to the provisional exchange data. Although, investor sentiment remained weak amid rising Corona Virus cases across the world. As well as, the number of cases around the world linked to the virus has crossed 80.18 Lakh. Whereas, the death toll has topped 4.36 Lakh. In India, the death toll due to COVID-19 rose to 9,900 and the number of infections rose to 343,091 according to the Health Ministry.