Indian Rupee seems start with range bound with negative note as greenback was up in early asia after slowly emerging from a two-year low even after the U.S. Federal Reserve stuck to a widely-expected script as its two-day meeting concluded on Wednesday. Yesterday , again USDINR was stuck in range between 74.7375 - 74.9075, finished intraday at 74.80 / 74.81 levels.
The half of the people living in Mumbai's sprawling slums are probably infected with the novel coronavirus, which suggests the metropolis could be heading toward herd immunity, a government official and a health expert said on Wednesday, citing a recent survey.
India on Wednesday approved a plan to allow foreign universities to open campuses in the country as part of efforts to boost education to strengthen the economy as it struggles with the impact of the coronavirus pandemic.
India's finance ministry said Wednesday it had extended the deadline for submission of bids for the sale of its stake in oil refiner Bharat Petroleum Corp Ltd to Sept. 30, allowing more time for interested parties.
INTRADAY RANGE - 74.57 ( 74.71 - 74.98 ) 75.15
THE FED
The Fed kept its benchmark rate within a 0%-to-0.25% range and pledged to keep rates near zero "until it is confident that the economy has weathered recent events and is on track to achieve its maximum employment and price stability goals."
The central bank announced it would extend its U.S. dollar liquidity swap lines and temporary repo operations through March 31, 2021. After an initial move lower, the dollar cut some of its losses.
The weakness in the dollar had been well documented heading into the Fed meeting, with many on Wall Street expecting the central bank to reiterate its commitment to keep rates lower for longer – a commitment that has seen the dollar plunge nearly 10% since hitting a peak in March.
The urgency to support the broader market was backed up by Fed Chairman Jerome Powell, who warned that the resurgence in coronavirus cases has hampered the economic outlook.
The Fed also tied economic recovery to an end to the COVID-19 pandemic, with Powell warning that there are signs that increases in the number of COVID-19 cases are starting to weigh on economic activity.
We think September and November meetings will be more eventful, with the (FOMC) expected to conclude its framework review in September and then amend its forward guidance and possibly adjust its inflation-targeting strategy.
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