USD/INR ends up on oil bids, FII outflows from local stocks

The rupee settled at 69.55 against 69.44 at the previous close. The local unit moved in 69.52-69.75 per dollar band intra-day.
Dollar/rupee ended higher Friday on oil-related buying by nationalised banks, while overseas outflows from local stocks aided. Oil bids supported the pair along with FII outflows from local equities. Sharp rise in crude oil prices increased dollar demand from oil importers. Dollar/rupee ended at Rs 69.55/$1 Friday compared to its previous close of Rs 69.44/$1. Local stocks ended almost one percent lower Friday afternoon dragged by weak global cues amid ongoing geopolitical tensions and surging crude oil prices.

The dollar was headed for a big weekly loss on Friday and the euro a solid gain after a dovish shift by the Federal Reserve, and investors also briefly pushed the yen to a new five-month high amid rising tensions between the United States and Iran. In joining the European Central Bank by opening the door to interest rate cuts and more stimulus to counter an economic slowdown, the Fed sent the dollar to its biggest two-day loss of 2019.
The euro hit a high of $1.1319, up 0.2% on the day, after French and German business activity strengthened more than expected in June, according to surveys. The common currency, up 0.9% since Monday, later settled at $1.1309.

Brent oil rallied above $65 per barrel and was set to notch up a 6% gain this week on fears of a U.S. military attack on Iran that would disrupt flows from the Middle East, which provides more than a fifth of the world's oil output.
Gold prices steadied after shooting up to a near six-year high on Friday, surpassing the key $1,400 level on dovish signals from major central banks and rising tensions in the Middle East.

Date	Time	Currency	Event	Actual	Forecast	Previous
21/06/19	13.00	EUR	German Manufacturing PMI (Jun)	45.4	44.6	44.3

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