Overview
- The rupee opened at 88.73 and traded at 88.77 in early Monday deals, pressured by higher oil prices and persistent foreign capital outflows.
- The currency closed Friday at 88.7650, near the 88.80 record set in late September, after reported RBI dollar sales helped cushion declines last week.
- Market participants warn of a quick slide if the central bank steps back, with the psychologically important 88.80 level likely to be tested.
- India’s 10-year benchmark yield stood at 6.5317% on Friday, with traders expecting a 6.50%–6.60% range this week and fewer basis points of December easing now priced.
- Flows remain mixed with about $1 billion of October foreign buying in government bonds versus Rs 6,769 crore of equity selling on Friday, as investors gauge interest in Lenskart and Groww IPOs.