Rupee - June 10, 2021 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

The Indian Rupee depreciated against the U.S. currency, on broad dollar strength ahead of the much-awaited inflation data in the U.S. that could alter the Federal Reserve's policy outlook.

The Rupee ended at 73.05 against 72.98 in the previous session. The local unit has fallen by an aggregate of 0.3% in the last three trading sessions.

Asian currencies and equities were mostly stronger ahead of the data, while the local equity markets also rose this Thursday and capped the weakness of the unit.

The one-year forward premium was at 3.30 rupees, against 3.26 rupees in the previous session.

Technically, the USDINR Spot pair ended above 21 Days Moving Average at 72.95 levels indicating a bullish momentum where support is at 72.95-72.80 levels. Resistance is at 73.15-73.35 levels.

The USDINR Spot pair could trade in a range of 72.90-73.30 levels in coming session.

The U.S. Dollar was flat against the basket of currencies on Thursday afternoon trade in Asia as investors looked to U.S. inflation data and a European Central Bank meeting later in the day.

Investors have implemented a wait-and-watch approach all week, removing volatility from the market and leaving major currencies mostly range-bound.

Technically, the Dollar Index above $90.00 could see a bullish momentum support is at $89.88-$89.75 level. Resistance is at $90.28-$90.44 levels.

Source : Equity Bulls

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