USDINR
The Rupee getting heat from FOMC outcomes, On Thursday we are expecting USDNR to commence between 75.80 -75.90 levels as Greenback surged to a nearly two-year high on Wednesday after minutes of the last Federal Reserve meeting reinforced expectations of multiple half percentage-point rate increases to control soaring inflation.
The Fed Hawkish Tone
Fed officials viewed the hefty rate increases as appropriate at future meetings, especially if inflation pressures intensify, minutes showed. They would also have preferred a 50 basis point rise in the target range for the federal funds rate at the March meeting. Officials also agreed to reduce the balance sheet by $95 million per month - $60 billion of its Treasury holdings and $35 billion of mortgage-backed securities - over three months, according to the minutes of the March meeting.
The Crude Oil
Crude prices tumbled for the second day in a row after the Paris-based International Energy Agency, or IEA said it will release 120 million barrels from the reserves of its members into the open market to bridge a global supply shortage.
The Ruble
The Russian ruble has wiped out the steep losses it incurred in the weeks after President Vladimir Putin sent troops into Ukraine. The ruble went into a nosedive immediately after the invasion on Feb. 24 amid a raft of international sanctions that effectively ended its time as a freely traded currency.
The Tech and Growth Stocks
The prospect of a more hawkish Fed led to a rocky start to the year for equities, and in particular tech and growth shares whose valuations are more vulnerable to higher bond yields.
USDINR TECHNICAL
Day Trend: - BUY ON DIP (Short Term)
Weekly Trend: - UPSIDE SELL (Mid Term)
INTRADAY RANGE – 76.28 (75.98 – 75.68) 75.38
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