USDINR
On Tuesday, USDINR seems some range bound as dollar taking some breath with positive sentiment. We are expecting pair most likely to commence between 81.50-81.60 levels as Asian currencies including the yen and yuan strengthened slightly while staying around levels that have caused concern from authorities in both countries.
USDINR TECHNICAL
Day Trend: - BUY ON DIP
Weekly Trend: - HOLD
INTRADAY RANGE – 81.93 (81.70 – 81.47) 81.24
THE ASIA
Asian markets opened on a cautious note Tuesday following another selloff in US stocks, soaring bond yields and volatile currency markets as investors brace for a heightened risk of global recession.
THE JAPAN BOND’S
Japan’s 20-year bond yields rose to the highest level since 2015 as global debt markets come under pressure from expectations for further monetary tightening.
The central bank announced an unscheduled bond buying operation. Bank of Japan Governor Haruhiko Kuroda said the country’s recent intervention in the yen was appropriate given recent volatility. Japan spent about 3 trillion yen ($21 billion) on its action, Nikkei reported.
THE CABLE
Early Asian trading Tuesday, the pound made a small advance in following its drop to a record low Monday. The Bank of England said it may not act before November to stem a rout, leaving traders wary of the risk that the currency could drop to parity with the dollar.
THE ENERGY
Negative sentiment is also flowing into markets for energy and raw materials. WTI crude oil traded around $77 a barrel near its January lows.
INFLATION, INFLATION AND INFLATION
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