The US Federal Reserve meets next week
The yen edged higher ahead of the outcome of a central bank policy meeting, while the dollar seemingly ignored US Treasury yields
In November 2020, the RBI had net bought USD 10.26 billion from the spot market
The rupee fell 9 paise to close at 74.24 (provisional) against the US dollar as muted domestic equities and elevated crude oil prices weighed on investor sentiments
The US dollar index was 0.3% higher at 95.157, but still looked set to finish the week down about 0.6%, its worst weekly showing since early September
The dollar has dropped 1.53% against the yen over the week, its worst showing since June 2020, and pushed as low as 113.64 for the first time since Dec. 21.
The dollar index is down about 0.9% for the week, on course for its largest weekly percentage fall since last May and set to halt a rally that has lasted about six months
US consumer price inflation was at its highest in nearly 40 years, data showed overnight
A growing chorus of investors is betting the world's reserve currency has reached a peak in a dramatic turnaround from a month ago.
Oil prices hit two-month highs on Wednesday on tight supply as crude inventories in the United States, the world's top consumer, fell to their lowest since 2018
The U.S. Dollar Currency Index, which tracks the greenback against six major currencies, was down 0.7% at 94.944, after slipping as low as 94.903, its lowest since Nov. 11.
World stocks rose while US Treasury yields and the dollar fell, after the latest US inflation data showed price pressures surging
The U.S. dollar fell to a fresh two-month low against a basket of currencies on Wednesday after data showed U.S. consumer prices rose solidly in December, but in line with economists' expectations
Federal Reserve Chair Jerome Powell on Tuesday gave no clear indication that the Fed was in a rush to speed up plans for tightening monetary policy
The rupee appreciated by 16 paise to 73.78 against the US dollar in opening trade Wednesday, supported by the weakening of the American currency in the overseas market and positive domestic equities
China's yuan strengthened on Wednesday to its highest level so far this year against the dollar
The dollar slid to its weakest since November against major peers after Federal chief Jerome Powell said it may take several months to make a decision on balance sheet
Spot gold rose 0.3% to $1,805.87 per ounce by 1027 GMT. U.S. gold futures rose 0.4% to $1,806.10
The dollar slipped on Tuesday but was stuck within recent ranges as investors waited for U.S. Federal Reserve Chair Jerome Powell to speak at a congressional hearing later in the day
Powell is seeking a second four-year term as head of the Fed, and his appearance before the committee will be followed by a hearing with vice chair nominee Lael Brainard on Thursday