Market Commentary

Rupee - Jan 13, 2021 - Reliance Securities



Posted On : 2021-01-13 21:31:06( TIMEZONE : IST )

Rupee - Jan 13, 2021 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

The Indian Rupee appreciated against the U.S. Dollar for the second straight session against the U.S. currency, tracking rise in most regional peers and a slight pullback in the dollar index.

The Rupee ended at 73.15 against the dollar, compared with 73.26 in the previous session.

The local unit has also been helped by foreign inflows in equities with overseas investors pumping in just under $2 billion in Indian shares in the month of January.

The Korean won and the Thai baht led Asian currencies higher, climbing 0.5% each. Among other major gainers, the Indonesian rupiah and the Malaysian ringgit were up 0.3% each to the dollar.

Investors will look to cues from the U.S. CPI report.

Markets will also pay close attention to the Fed speeches and the speech from ECB President Lagarde tonight. Fed Chair Jerome Powell will speak tomorrow.

The one-year forward premium was at 3.41 rupees, against 3.35 rupees in the previous session.

Technically, the USDINR Spot pair took a support near 73.08 and bounced back and resumed above 73.15 levels indicating a sideways to marginal downside momentum up to 73.08-72.95 levels. Resistance is at 73.28-73.40 levels.

The USDINR Spot pair could trade in a range of 73.03-73.40 levels in the coming session.

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Source : Equity Bulls

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