FX Monitor - June 9, 2020 - Geojit

- Indian Rupee ended at 75.55 yesterday, up 3 paise against its previous close of 75.58.
- FBIL set the reference rate for USDINR at 75.4665 and Euro at 85.8416.
- In economic news, domestic IIP (Apr) and CPI (May) are scheduled to be released on Friday.
- US dollar traded mostly unchanged as focus shifted towards fed policy meeting.
- US central bank FOMC is set to meet for its monetary policy meeting on 09th and 10th June.
- On the data front, US JOLTs job opening is due later today.
- Euro ignored ECB president's testimony while UK's pound to take cues from reopening of UK economy.
- PBOC has set the yuan reference rate at 7.0711 versus Monday's fix at 7.0882.

USDINR Outlook

Despite positive domestic equity market, the Indian currency closed higher only by 3 paise as the strengthening American dollar and rising oil prices. Local unit yesterday opened at 75.59 a dollar and made an intraday high and low of 75.50 and 75.64 before settling the day at 75.55 against its previous day closing of 75.58. On Friday, Rupee closed lower by one paise. Oil prices continued its optimism after OPEC's decision to extend its production cuts. FIIs were buyers in the capital market segment; bought shares worth Rs 813.27cr on 08 June as per exchange's provisional figures. DIIs, on the other end were sellers to the tune of Rs 1238.23cr for the same period. This week the major focus will be on US Fed monetary policy meeting.

For USDINR, 75.73 and 75.98 may act as a crucial level in the upside while 75.33 and 75.07 will act as major support level.

Source : Equity Bulls

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