Expect Indian Rupee to trade on positive note - Sushil Finance

The Indian Rupee appreciated by 0.61 percent in Yesterday's trading session and closed at 62.058 on the back of rise in risk appetite in the domestic markets. Further, dollar selling by foreign banks and exporters supported currency to gain strength. Additionally, RBI measures to attract more Inflows and ease in Geopolitical tensions acted as positive factors for the Indian Rupee.

We expect Indian Rupee to trade on positive note on the back of weakness in DX coupled with gains in the other Asian currencies. Further, rise in risk appetite in the global markets and dollar selling by foreign banks and exporters may support currency to gain strength. Additionally, ease in geopolitical tensions and RBI measures to attract more inflows may act as positive factors for the Indian Rupee. However, concerns over country' economic health, RBI decision to increase the benchmark rates along with month end demand for dollars from importers may curb sharp rise in the currency. Additionally, worries over possible US federal debt default may keep currency under pressure.

Source : Equity Bulls

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