USDINR
On Tuesday, USDINR is most likely to commence session within 79.70 - 79.80 levels as the greenback is in black foot ahead of FOMC outcomes. The dollar was lower in early trade in Asia, as investors weighed the implications of a rate hike by the U.S. Federal Reserve in an economy that may be on the verge of a recession.
The Indian rupee strengthened to its highest level in more than a week on Monday afternoon tracking broad losses in the dollar, but weaker local shares and losses in other Asian peers ahead of the U.S. Federal Reserve meeting's outcome later this week limited gains.
FOMC
The U.S.A central bank is widely expected to raise interest rates by 75 basis points at the conclusion of its policy meeting on Wednesday. A hike of that magnitude would effectively close out pandemic-era support for the economy.
THE UK ECONOMY
British industrial output grew at the slowest pace in over a year in the three months to July, but there are tentative signs that some challenges around inflation and investment are easing, a Confederation of British Industry survey showed on Monday.
UK inflation running at the fastest pace since the early 80s. The Bank of England’s tip-toeing on rate hikes relative to its peer across the Atlantic. Festering labour and supply-chain wounds left by Brexit.
OIL PRICE
Oil prices jump about more than $2, bolstered by supply fears, a dip in the U.S. dollar and early strength in equity markets, but prices seesawed as some worried fuel demand could weaken if the Federal Reserve raises U.S. interest rates too aggressively.
USDINR TECHNICAL
Day Trend: - BUY ON DIP (Short Term)
Weekly Trend: - UPSIDE SELL
INTRADAY RANGE – 80.02 (79.83 – 79.64) 79.45
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