CHENNAI: On Friday (July 18), the rupee continued to trade under pressure, while commodity prices, especially gold and silver, remained firm amid global uncertainties and elevated crude oil prices.
Rupee:
The Indian rupee weakened marginally and ended the day near ₹86.20 against the US dollar. The currency’s depreciation was driven by continued foreign fund outflows and global dollar strength. Market data also showed the rupee's 30-day correlation with the Nifty50 rising to 0.66, indicating a stronger link between equity performance and currency movement. Implied volatility fell to 4.2 percent, signaling a stable but weakening trend in the currency.
Crude Oil:
Global crude oil prices remained elevated on Friday. Although there were no major daily moves, the broader trend reflected ongoing concerns about supply disruptions from Russia. The firm oil prices continued to weigh on India’s import bill and inflation outlook.
Gold:
Gold prices remained steady. On the Multi Commodity Exchange (MCX), August gold futures were priced at ₹97,559 per 10 grams, up ₹86 from the previous session. In the retail market, 24K gold was priced at ₹9,938 per gram and 22K gold at ₹9,110 per gram—both up ₹5. However, high prices led to subdued demand in domestic markets, with dealers offering discounts to attract buyers.
Silver:
Silver prices edged slightly lower. Retail silver was priced at ₹113.90 per gram (₹1,13,900 per kg), down ₹0.10 from Thursday. Despite the minor decline, silver continues to trade near its record highs, supported by strong industrial demand and investor interest.
Overall, the day saw continued pressure on the rupee, firm global commodity prices, and steady movements in precious metals, with investor sentiment remaining cautious amid mixed global cues.