Indian Rupee comes under pressure, closes at Rs. 60.22 against US$ - ICICI Bank : Treasury Research

The Indian Rupee began the day on a firm note amidst improved global risk sentiment. However, Intraday the currency came under pressure on account of corporate outflows and Dollar demand by oil importers. Broad-based strength in the greenback also weighed on the Rupee. However, the currency recovered some of its losses on reported Dollar sales by PSU banks. Meanwhile, sources from the Commerce Ministry reported that India's gold and silver imports are expected to have declined substantially to USD 2-2.5 bn in June following recent measures taken to curb imports of the yellow metal. This is likely to offer some support to the currency going ahead. The USDINR pair ended today's session weaker at 60.22 vs. yesterday's close of 60.13.

The 6 and 12-month forward premia closed at 5.95% and 5.92% respectively as against 5.98% and 5.93% yesterday.

The US Dollar is trading stronger after non-farm payrolls data for June topped consensus. The Pound is trading weaker on the back of strength in the greenback. The dovish guidance offered by the BoE in its policy meeting yesterday also weighed on the currency intraday. Euro is also trading weaker, extending yesterday's losses following the accommodative policy stance signalled by the ECB yesterday. Yen is trading weak on the back of broad-based Dollar strength. The Dollar index is currently at 84.41, compared to the previous close of 83.23. EUR/USD is trading around 1.2823, compared to yesterday's closing levels of 1.2914; GBP/USD is trading around 1.4874 as against previous close of 1.5072. USD/JPY is trading around 101.13 compared to previous close of 100.04 (18:15 IST).

Source : Equity Bulls

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