Currency Market

USD/INR DAILY



Dollar continued its RISE against the rupee for the 3rd consecutive day as the pair touched high of 46.82 before closing the day at 46.76
levels. Weakness in the equity markets was one of the main triggers that lead to the rise of the dollar. Nifty fell by 75 points or 1.48% to
close the day at 4988 points. The prime driver of the asset classes continued to be dollar index which was quoting at 75.09 levels which was
near 14 months low of 75.05. The reason was the Leading Indicators data which was released yesterday and was better than expected,
painting a positive picture for the U.S economy in coming days.
Higher crude oil prices seems to be the major concern for the central bankers as inflation is all set to rise and might touch double digit levels
if crude oil prices do not fall. The Wholesale Price Index of India rose by 1.21% against an expectation of rise of 1.10%. While bonds
remained flat at as yields on 10 year benchmark bonds stood at 7.35%
Overall we expect some downside in USDINR in morning trades however 46.45 will continue to be a crucial support for October futures.