INSUBCONTINENT EXCLUSIVE:
Analysts say such a move would provide some support to the rupee in the short term
For the week, the rupee declined 0.5 per cent.Here are 10 things to know about movement in the rupee against the US dollar on Friday:1
The rupee rose as much as 71.84 against the US dollar during the session
However, it returned to 72 levels by the end of the day.2
Selling of the dollar by exporters and banks, along with weakness in the greenback overseas amid easing of concerns of the US-China trade
war, trade supported the rupee, news agency Press Trust of India cited forex dealers as saying.3, Global credit ratings agency Fitch revised
its Gross Domestic Product (GDP) growth projection for India to 7.8 per cent for 2018-19, from 7.4 per cent.4
Analysts attributed the recent recovery in the rupee to a combination of factors.5
"Market has become cognizant of the fact that government will be vigilant henceforth on rupee management and additional policy measures
A special oil window for oil-related dollar buying would temporarily reduce spot dollar buying and ease the pressure on the rupee, said IFA
Global, a forex advisory firm
The dollar index - which measures the dollar against six major currencies - rose against a basket of major currencies on Friday, but eased
Crude oil edged up to stay close to four-year highs near $80 a barrel, ahead of a key meeting by the top producers on Sunday.7
The government last week announced measures to curb the rupee fall
This included plans to cut "non-essential imports".8
Going forward, analysts will watch developments on the US-China trade front and key meetings of the Organization of the Petroleum Exporting
Countries as well as the Federal Reserve - the American central bank - for direction.(With agency inputs)
