USDINR
The Rupee likely to commence Wednesday session on weaker note between 82.30 – 82.40 levels against dollar advanced after relatively solid data on U.S. manufacturing and construction in June offset a decline in job openings last month to the lowest level in more than two years.
USDINR TECHNICAL
Day Trend: - BUY ON DIP
Weekly Trend: - BUY
INTRADAY RANGE – 82.66 (82.41 – 82.24) 82.15
USA DATA
ISM survey offered a tough assessment of U.S. manufacturing conditions, so-called hard data suggested the sector is shuffling along. Federal Reserve data in June showed factory production rebounded in the second quarter, ending two straight quarterly declines.
Meanwhile, U.S. construction spending increased solidly last month and May's data was revised higher, boosted by outlays in both single and multifamily housing projects, the Commerce Department said.
In a third data set, the monthly Job Openings and Labor Turnover Survey, or JOLTS report from the Labor Department, remained consistent with tight labor market conditions despite the Fed's hefty interest rate hikes to dampen demand.
THE YEN
The yen has swung wildly since Friday, when the BoJ began what may be a slow shift from decades of massive monetary stimulus. The central bank offered to buy 10-year Japanese government bonds at 1.0% in fixed-rate operations instead of the previous rate of 0.5%.
THE AUSSIE
The Australian dollar posted its biggest daily decline since March after the central bank held rates at 4.1% for a second month, saying past hikes were cooling demand but more tightening might be needed to curb inflation.
THE EURO
The euro fell as markets now price in a pause in rate hikes by the European Central Bank. Euro zone inflation fell further in July and the bloc returned to growth in the second quarter with a greater-than-expected expansion.
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