Rupee rises 35 paise to 81.58 against US dollar
Mumbai(PTI):The rupee appreciated 35 paise to 81.58 against the US dollar in early trade on Thursday as the American currency retreated from its elevated levels.
At the interbank foreign exchange, the domestic unit opened at 81.60 against the dollar, then touched 81.58, registering a gain of 35 paise over its previous close.
In initial trade, the rupee also touched 81.75 against the American currency.
On Wednesday, the rupee plunged below the 82-mark for the first time in intraday trade before settling 40 paise down at 81.93 against the dollar.
According to Sriram Iyer, Senior Research Analyst at Reliance Securities, the rupee opened stronger on Thursday, tracking the overnight weakness of the dollar and treasury yields.
However, concerns on fiscal loosening and monetary tightening will keep the dollar supported and cap gains for the local currency.
Most Asian and emerging market peers started weak on Thursday morning and will also cap gains in the rupee.
"Investors now await the RBI's monetary policy committee's decision on Friday, with growing expectations of a 50-basis points hike due to the pressure on the rupee from hefty interest rate hikes in the US," Iyer noted.
Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, rose 0.61 per cent to 113.28.
Brent crude futures, the global oil benchmark, fell 0.46 per cent to USD 88.91 per barrel.
In the domestic equity market, the 30-share BSE Sensex was trading 361.13 points or 0.64 per cent up at 56,959.41 and the broader NSE Nifty rose 133.75 points or 0.79 per cent to 16,992.35.
Foreign Institutional Investors (FIIs) were net sellers in the capital markets as they offloaded shares worth Rs 2,772.49 crore on Wednesday, according to exchange data.
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Sujit Nair raises concerns over speculation of DMK-AIADMK understanding to block TVK
Chennai: Journalist and political commentator Sujit Nair has expressed concern over speculation that the Dravida Munnetra Kazhagam and the All India Anna Dravida Munnetra Kazhagam could explore a post-poll understanding to prevent Vijay-led Tamilaga Vettri Kazhagam from forming the government in Tamil Nadu.
In a social media post, Sujit Nair said the election verdict in Tamil Nadu reflected a clear public demand for political change and argued that the mandate should be respected irrespective of political preferences.
Referring to reports and political discussions surrounding a possible understanding between the DMK and AIADMK, he said he hoped such developments remained only speculative conversations and did not turn into reality.
Nair stated that if such an alliance were to take shape, it would raise serious questions about ideological politics in the country. He said TVK had emerged through a democratic electoral process and that the legitimacy to govern in a parliamentary democracy comes from the people’s verdict.
According to him, attempts to prevent an electoral winner from forming the government through unexpected political arrangements may be constitutionally valid, but many people could view them as politically opportunistic.
He further said that such a move could particularly affect the political image of the DMK, which has historically projected itself around ideology, social justice and opposition politics. Nair said that in ideological terms, the DMK appeared closer to TVK than to the AIADMK, and joining hands with its long-time political rival only to remain in power could weaken its broader political narrative.
He added that the same questions would apply to the AIADMK as well, as the party had spent decades positioning itself against the DMK and such an arrangement could create discomfort among its cadre and supporters.
Drawing a comparison with Maharashtra politics in 2019, Nair said he had expressed similar views when the Shiv Sena formed an alliance with the Indian National Congress and the Nationalist Congress Party after the Assembly elections.
He said post-poll alliances between long-standing political rivals often create a public perception that ideology and electoral mandates become secondary when political power equations come into play.
Nair also said such developments increase public cynicism towards politics and reinforce the belief among voters that ideology is often sidelined after elections.
He maintained that the Tamil Nadu verdict was emphatic and said respecting both the spirit and substance of the mandate was important for the credibility of democratic politics.
