USDINR opened 15 pips weaker at 70.64/65 against Tuesday Closing was 70.49/50 levels. Yesterday USDINR volatility touch 2 week pick. Rupee is unstable due to Globally as well as On-going state Election. We are expecting that Indian rupee will weaken over next six months as uncertainty builds heading into national elections due in May.
INTRADAY RANGE - (70.35 - 70.80) 71.11
While a sharp drop in oil prices should help the slowing economy and the rupee, concerns will also persist over sluggish domestic demand which weighed more heavily on July-September growth than expected.
Most major Asian currencies have had a bruising year amid a strong U.S. dollar, though many have made some gains this week after the United States and China agreed at the weekend to a 90-day
truce in their trade war.
But the rupee - which is the worst performing major Asian currency this year with a fall of more than 10% - was an exception, weakening more than 1.5% with in two days this week.
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