• Spot rupee ended at 87.97/98 to a dollar level after opening at 87.77/78 level. After opening higher at 87.77 level, the rupee steadily depreciated on dollar demand from importers ahead of Diwali holidays. Equity market benchmarks ended about 0.5 higher.
• DXY is trading weaker at 98.24 level amid a combination of factors like expectations of Fed rate cuts, Government shut down and credit market worries. US 10 Year bond yields are trading lower at 3.9650 level.
• Meanwhile, from Eurozone, inflation edged higher in September Eurozone inflation edged higher in September, with headline CPI finalized at 2.2 y/y, up from 2.0 in August. The core measure, which excludes energy, food, alcohol & tobacco, also firmed to 2.4 y/y from 2.3.
• Important data releases scheduled today: US: Philly Fed Mfg. index; NAHB Housing Market index; Business inventories m/m;

Rupee started day on positive note, opening 6 paisa higher at 87.77 levels against yesterday’s closing of 87.83 levels. Equity market benchmarks are trading about 0.2 lower in early trades.

DXY is trading lower at 98.22 level. DXY is heading into a weekly loss, the biggest decline since July, as US-China trade tensions intensify amid continuing government shut down. Markets are not betting on Fed rate cuts. Credit market risks also weighed on sentiment after two US regional banks disclosed bad loans. Fed Governor Christopher Waller said Thursday he supports another rate cut this month amid mounting labor market risks, while Fed Governor Stephen Miran called for more aggressive easing.