On Thursday, Indian spot rupee opened on appreciation note at 46.7450 up by 3 paisa than previous day session.
The rupee made intraday high of 46.52 and settled at 46.5406 levels up by 23 paisa or 0.48 percent. During the day, rupee showed volatility yet remained on appreciation note on account of weak dollar and supported by marginal gain in domestic indices.
In the noon, rupee touched nearly month high of 46.52 as euro strengthened against dollar which pressurize dollar to trade low against major currencies.
OUTLOOK
Economic data releases from US in the form of initial jobless claims and continuing claim had a mixed impact on the market.
However, the US equity market closed in red on lower earnings forecasts by consumer and technology companies. Asian equities are trading lower tracking weak US market and reacting to higher unemployment data released in Japan.
This could instill volatility in domestic indices and opening might be lower. The dollar index currently trading slightly lower and would be cues for rest of the day.
Moreover, the speculation run that importers will step up dollar purchases to settle month end bills also weighs on the currency. Day ahead, we are expecting rupee to trade sideways and opening could be on depreciating note.
