USDINR trying to stabilize firm base near 72.85 - 72.95 levels as greenback headed to firm week. The Domestic Unit ( Rupee) likely to commence Friday session with mild weaker note between 72.98 - 73.05 levels against greenback. Interbank market seems in rangebound ahead of RBI policy. Market participant expect no change in interest rate (4%) but guidance will be important.
INTRADA RANGE - 72.82 ( 72.92 -73.12 ) 73.26
The U.S. economy is exceptionally strong relative to other countries, causing dollar short covering . Dollar was mild south on early Friday morning in Asia but was still heading towards its best weekly gain in three months over growing confidence in the U.S. economic recovery from COVID-19. The index remained close to a two-month high reached during the previous session, boosted by positive employment figures.
INTRADAY RANGE - 92.26 ( 91.76 - 91.26 ) 90.76
The price of gold is helping to contribute to the dollar’s strength, Conventionally, gold is a hedge against debt accumulation and monetary expansion. Gold has come to the value area, with the spot contract having made a low of $1,784.Gold’s $1,800 support — a target for bears since its foray beneath those levels in November — crumbled Thursday under a wave of selling pressured by signs of U.S. labor market recovery and snags for the Biden administration’s Covid-19 stimulus plans.
On Friday , Asia Pacific stocks were up early morning, extending gains into a fourth day as investors digested corporate earnings and positive U.S. employment data. Bullish sentiment in U.S. stocks remains on “solid footing” as a rebound in activity and corporate profits as well as accommodative U.S. Federal Reserve policy create a supportive environment for equities.
GameStop Corp . shares tumbled for a second day, with the weekly drop exceeding 80% as retail traders flocked to new targets, including small drug developers.
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