Monday, 19 January 2015

20th January 2015 Daily Market Headlines on Forex

Rupee trims initial gains vs dollar, still up 17 paise

www.researchvia.comThe rupee resumed higher at 61.60 per dollar as against the last weekend's level of 61.87 per dollar at the Interbank Foreign Exchange (Forex) Market and firmed up further to 61.58 per dollar on initial selling of dollars. However, it trimmed its initial gains and was quoted at 61.70 per dollar at 1100 hrs on some demand from banks on the back of higher dollar in the overseas market. It hovered in the range of 61.58-61.73 per dollar during the morning trade. 
 
The Indian rupee trimmed its initial gains against the American currency, but was still quoted higher by 17 paise to 61.70 per dollar on selling of greenback by banks and exporters in view of strong foreign capital inflows into equity market.


Euro struggles near 11-year low as investors bet on ECB
quantitative easing


The Swiss National Bank removed one of the euro's few remaining pillars of support last Thursday when it stunned markets by abandoning the three-year-old cap on the Swiss franc against Europe's common currency. The SNB's policy U-turn, which means it will no longer be buying billions of euros in order to limit the franc's strength, sparked speculation that it was acting in anticipation of the ECB launching a large-scale quantitative easing programme at its next policy meeting on Thursday. The euro was trading at $1.1585, not far from a trough of $1.14595 hit on Friday.

On Monday, however, currency markets could be relatively slow with U.S. markets shut for a public holiday and little in the way of market-moving economic data due. 

The euro gained 0.7 percent on the day against the franc to trade near parity at 1.0005 francs, but it has still lost nearly 17 percent against the Swiss currency since the SNB abandoned its cap on the franc of 1.20 per euro.

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