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FRIDAY : - USDINR IN RANGE , POUND TUMBLE IN RANGE !!

USDINR seems starts Friday session with in range bound between 73.63 - 73.70. The Rupee getting support from regular FII inflow in capital market as well as 10 year Yield trading in range.

  • India's agriculture minister said on Thursday the government was ready to consider further changes to divisive reforms that have triggered the biggest protests by farmers in years.

  • India's retail inflation probably fell in November from October but remained above the Reserve Bank of India's target, amid high food and petrol prices, a Reuters poll of economists showed.


INTRADAY RANGE - 73.43 ( 73.58 - 73.78 ) 73.95



FOREX

Sterling was set to snap five weeks of gains with a slump on Friday, as leaders on both sides of Brexit trade talks sounded doubtful about finding a resolution.

  • British Prime Minister Boris Johnson said on Thursday there was "a strong possibility" Britain and the European Union would fail to strike a deal.

  • One-week volatility is at a new eight-month high and the premium of puts to calls is near its highest since April as investors pay up for downside protection.

The greenback was pinned near a two-and-a-half year low, with markets heavily short dollars as investors bet on better returns in other currencies as the pandemic recovery takes hold.


European Central Bank expanded its bond buying scheme, given the move was widely expected. The central bank also lifted growth forecasts but lowered inflation projections for 2022.


Australian dollar soared along with iron ore prices to hit a 2-1/2 year high. The Australian dollar has broken past 0.75 U.S. cents for the first time since mid-2018 overnight as prices surged for Australia's biggest export commodity, iron ore.


COMMODITY

Oil continuing the sharp rally seen overnight, as the rollout of COVID-19 vaccines increased hopes that fuel demand would recover in 2021.

  • Investors were also encouraged by signs of strong Asian demand. India’s biggest refiner Indian Oil Corporation Ltd. said on Thursday that it was operating at 100% capacity of all its nine units for the first time since early 2020.

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