Rupee could trim some of its previous losses against the US dollar as
the greenback eases from its 12 year high versus the euro. The Federal
Reserve backed away from its pledge to be patient at the end of the two
day meet on Wednesday, a strong signal that the central bank will hike
interest rates in July or September. The move to remove the patient
phrase came amid concerns about the rapid rise in the
U.S. dollar, which
touched 12-year highs against the euro this week. Rupee ended little
changed at 62.69per dollar compared with its previous close of 62.70.
Local
markets dropped yesterday. IT stocks led decline as key benchmark
indices edged lower amid concerns the US Federal Reserve will indicate
at the conclusion of a two-day monetary policy meeting, that it will
begin raising interest rates in the United States this summer. Higher US
borrowing costs could damp inflows into emerging-market equities. The
barometer index, the S&P
BSE Sensex, fell 114.26 points or 0.4% to
settle at 28,622.12.
The credit growth for Scheduled commercial
banks' (SCBs) eased to 10.2% as on 06 March 2015, while continuing to be
in the range of 10-11% for last eight months. Non-food credit,
accounting for 98.5% of the share of the total credit, grew 10.4% to Rs
64262.6 billion on 06 March 2015. The overall credit-deposit ratio
declined to 76.3% as on 06 March 2015 from the credit-deposit ratio of
77.3% a year ago.
The Organization for Economic Cooperation and
Development (OECD) said growth prospects in the major economies look
slightly better than its previous assessment in November and called for a
balanced policy to ensure sustainable growth.
Gold slipped from
its recent highs amid a continued firm undertone in the US dollar. The
overall movement remains choppy. This is causing speculators in world
markets to go easy on longs too.
Crude oil futures edged lower on
mounting worries over rising oil supplies.
In the global currency
market, the dollar nursed hefty losses on Thursday having suffered its
biggest one-day fall in six years after the Federal Reserve struck a
dovish tone on interest rates while highlighting the currency's drag on
U.S. exports.
