USDINR
USDINR is trading around all-time higher levels, We are expecting the pair to commence Thursday session between 77.70 -77.80 levels after yesterday's RBI hike interest rate by 50 bps. Following the ECB announcement, investors will get a read on U.S. inflation on Friday in the form of the May consumer price index (CPI).
On Wednesday, The Reserve Bank of India's key interest rate was raised by 50 basis points as widely expected, the second hike in as many months, in a bid to cool persistently high inflation in Asia's third-largest economy.
THE CENTRAL BANKS
The Bank of Japan remains one of the few global central banks to maintain a dovish stance while others have adopted tightening policies of hiking interest rates to combat inflation.
The European Central Bank (ECB) is expected on Thursday to take a hawkish stance, with interest rate hikes to begin in July as traders price in 75 basis points of hikes by September.
THE OIL
On Thursday, Oil prices held near 13-week highs as underpinned by robust demand in the world's top consumer United States while demand is expected to rebound in China as COVID-19 curbs across major cities are relaxed.
Brent crude futures for August nudged up to $124.30 a barrel, while U.S. West Texas Intermediate crude for July was at $122.17 a barrel.
USDINR TECHNICAL
Day Trend: - BUY ON DIP (Short Term)
Weekly Trend: - HOLD
INTRADAY RANGE – 77.96 (77.82 – 77.68) 77.54
Comments