![]() If you believe that exchanging 1 USD to INR in 1947 would have got you 1 Rupee exactly, then, sadly, that’s not true reason being when India got her independence in the year 1947, there were no outstanding credits on theīalance sheet of India that kept Indian Rupee at parity with the US Dollar. With Brent crude futures trading 0.50 percent higher at $80.33 per barrel and WTI crude futures holding steady at $73 per barrel on Monday, crude oil prices successfully recovered from their lows.To answer the legendary question–How the Indian rupee has devalued since 1947 till date?We’ve come up with a simple clarification. Technically USDINR 24th February contract showing some profit booking indication, 82.90-83.20 are some important resistance, where 82.40-82.00 are major support for USDINR." Dollar got a boost on Friday after the US jobs data release showed an unexpected surge in jobs-added for January, US payroll data was in favor of US dollar. ![]() The local unit is expected to remain supported by the crucial 83.20 mark, while any breach of the same would push it towards new record lows."īased on the technical outlook of the currency pairs Amit Khare, AVP- research commodities, Ganganagar Commodity Limited said “INR is under pressured by concerns around the Adani group and the continue FII outflows from Indian equity market. All eyes are now on the RBI monetary policy where the central bank is likely to hike rates by 25bps, while the monetary policy stance for the year ahead will further steer the direction of the domestic currency. Besides, tensions between US and China have also rattled the sentiments for the Asian currencies. The probability of further rate increases in March as well as May has increased substantially. The impressive US Jobs report for January has spurred bets that the US Fed will stick to its hawkish narrative for longer than previously anticipated, thereby propping the US dollar. ![]() This can be attributed to the steep recovery in the dollar index toward a one-month high. Market expert Sugandha Sachdeva said “The Indian rupee has plunged lower by around 1 percent amid the broad risk aversion in the markets and the decline witnessed in other emerging market currencies. We feel the rupee weakness is likely to continue against basket of developed market currencies." The recent rebound in USDINR from support of 81 should be seen as a major bottom with immediate target seen at 85. Both the euro & pound are on the back foot against the dollar. At the same, Dollar is regaining its strength after being in the downtrend since past few days after ECB & BoE didn't deliver a hawkish monetary policy. FIIs continued to remain on the sell side after January recorded nearly ₹415 bn outflows in cash market. The recent developments around the Adani Group and continuous selling by the FIIs is the key driver for the rupee to push below 82.00/$. Nisha Harchekar, Head - Equity Research at Fintoo said “The Indian rupee hit three weeks low at 82.78 per US Dollar today. The expected trading range is between 81.75 to 83," added Pritam Patnaik. We expect the RBI rate hike to provide some support to the prices and expect volatility to continue. ![]() An eye on how the equity markets and FII flows play out will also help in predicting the future price trend of the Rupee. The street will pay a lot of attention to comments made by the US FED members, to try and predict future policy stances. A dovish stance by RBI will not essay well for the INR. “RBI could provide some cushion to the falling Rupee, provided we see a rate hike and future guidance maintenance, suggesting more hikes. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |