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WEDNESDAY USDINR & GLOBAL OUTLOOKS : - RUPEE WEAKER, OIL UP , EURO UP ON HOPE , POLAND DOVISH !!

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USDINR

On Wednesday, The rupee likely to commence session within range of 79.90 – 80.00 just below all-time lows at 80.0550 against greenback as U.S. dollar edged lower in early Asian session trade , moving below to a one-week low, as traders eased expectations that the U.S. Federal Reserve will hike by a full percentage point this month.


  • India's importers including of crude oil, commodities, chemicals and electrical machinery, besides business travellers and students studying abroad have been hit hard following a sharp depreciation of rupee against the dollar this year.


THE OIL

Oil prices rose about 1%, with global benchmark Brent hovering near two-week high in volatile trade on early Asian session as traders worried about tight supplies and a weaker dollar.


THE EURO

Reuter’s story that European Central Bank policymakers are considering raising interest rates by a bigger-than-expected 50 basis points at their meeting on Thursday to tame record-high inflation. The rebound in the euro, which sent it further away from the sub-parity levels of last week, coincided with falling expectations for an aggressive 100 basis points hike from the U.S. Federal Reserve this month, which knocked the dollar.


THE POLAND

Polish central bankers are weighing the scope of further rate hikes amid risks of an economic slowdown, with one rate setter arguing future hikes should be smaller while another said rates should only rise by 25 basis points, if at all.


USDINR TECHNICAL

Day Trend: - BUY ON DIP (Short Term)

Weekly Trend: - HOLD


INTRADAY RANGE – 80.28 (80.09 – 79.91) 79.72

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