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The Indian rupee fell to its weakest level in more than a month on Tuesday but held above 96 per dollar as likely central bank intervention limited losses ?driven by surging oil prices and bets on a U.S. rate hike this week. The rupee settled at 95.9550 per dollar, its biggest one-day fall since mid-July. Brent crude rose more than 2% to $108.20 a barrel, raising concerns about a wider Indian trade ?deficit and higher inflation. Data on Tuesday showed that India's goods trade deficit was narrower than anticipated in August, largely on account of a drop in gold imports, at $26.8 billion against economist expectations of about $32 billion. Meanwhile, signs of broadening inflation have prompted traders to add to wagers on a rate hike by the Reserve Bank of India next month. In addition, focus is also ?on the U.S. Federal Reserve's policy decision on Wednesday with markets pricing a 93% chance of a hike. The pound was stuck at its lowest level in more than a month against a broadly stronger dollar on Tuesday, ?pinned down by elevated crude oil prices ahead of this week's interest-rate decisions from the Bank of England and U.S. Federal Reserve. Sterling eased 0.2% to $1.347, hovering near its lowest since August 7. The dollar firmed against most currencies on Tuesday as markets priced in a near-certain interest rate hike by the U.S. Federal Reserve later this week. The euro was pinned at one-month lows against a broadly strengthening dollar on Tuesday, as surging oil prices lifted Treasury yields and ?reinforced expectations that the Federal Reserve will hike interest rates this week. Conversely, Gold prices eased on Tuesday ?as a rally in crude oil underscored inflation risks, reinforcing expectations of a Federal Reserve rate hike and lifting Treasury yields ahead of the central bank's policy meeting this week. Oil prices rose nearly ?2% as concerns over supply disruptions lingered after the attacks on Saudi Arabian energy infrastructure left the kingdom's East-West Pipeline offline and cast doubt on efforts to ease shipping risks in the Gulf.......
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GlobalFX

The US dollar weakened sharply against other major currencies after data showed that the US economy suffered a record contraction in Apr-Jun, while jobless claims rose in the week ended Saturday also rose.The US unit also extended its decline globally on Thursday after Trump raised the possibility of delaying presidential election in the US, scheduled for November.European Stocks ended lower on Thursday due to mounting concern over sluggish economic recovery and a possible second wave of the COVID-19 pandemic.Germany reported its worst decline in GDP since 1970, with the Eurozone’s largest economy shrinking 10.1% quarter-on-quarter in Apr-Jun.Corporate earnings were high on investors' agenda on Thursday.In the US, Most share indices ended lower on Wednesday following bleak economic data.Lack of progress in talks between Congressional Democrats, Republicans and the White House on a new coronavirus aid package also weighed on sentiment.Gold futures settled lower on Thursday after nine consecutive days of gains, with the bullion retreating from a record rally as traders booked some profit.......
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