USDINR
On Wednesday, The Rupee is likely to commence the session with a weaker note between 76.10 – 76.20 against the greenback as Multi-decade record-high inflation in the US is compelling the Federal Reserve (Fed) to elevate interest rates and initiate balance sheet reduction soon.
USA INFLATION
US inflation has slightly crossed the estimates. The US Bureau of Labor Statistics has reported the yearly US Consumer Price Index (CPI) at 8.5%, mildly higher than the market forecast of 8.4% and significantly higher than the previous print of 7.9%.
US CPI Ex Food & Energy has landed at 6.5%, in between the estimate of 6.6% and the prior figure of 6.4%, which indicates price pressures majorly in necessity products.
USA & UK
US President Jo Biden and UK Prime Minister Boris Johnson have agreed to put pressure on Russian leader Vladimir Putin as Moscow has repositioned its rebels in the eastern Donbas region. The two administrations are planning to accelerate and bolster military and economic assistance to Ukraine.
INDIA INFLATION
India's retail inflation accelerated to near 7% year-on-year in March, its highest in 17 months and above the upper limit of the central bank's tolerance band for a third straight month, putting pressure on it to raise policy rates.
On Tuesday, Indian shares fell for a second straight session on inflation data expected to build the case for an interest rate hike, with metals stocks leading the losses on concerns over demand. Hyperinflation and the risk of a policy rate hike are placing the global market on its toes and are impacting the performance of equities with a rise in yield.
OIL GAME
Oil pushed higher after rallying back above $105 a barrel as Russian President Vladimir Putin vowed to continue the war in Ukraine, which has rattled markets and tightened global crude supply.
THE GOLD
Gold advanced more than 1% as Treasury yields eased after U.S. inflation data drove expectations that the Federal Reserve may not need to be as aggressive in tightening policy in the longer term.
USDINR TECHNICAL
Day Trend: - BUY ON DIP (Short Term)
Weekly Trend: - HOLD
INTRADAY RANGE – 76.46 (76.25 – 76.03) 75.82
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