Rupee - June 21, 2021 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

The Indian Rupee depreciated against the U.S. dollar on Monday on broad greenback strength and worries of foreign fund outflows due to hawkish comments from the U.S. Fed.

The Rupee ended at 74.10 against 73.86 in the previous session.

The unit had fallen to an intraday low of 74.28, but trimmed losses on exporters' dollar sales.

Most regional currencies also weakened on Monday following the dollar's strength and weighed on prices.

The South Korean won led Asian currencies lower, while the Chinese Yuan dropped to an over-one-month low of 6.4720 to the dollar.

Meanwhile, the benchmark BSE Sensex and the broader NSE index reversed day's losses and ended 0.44% and 0.40% higher, respectively on Monday.

The benchmark 5.85% bond maturing in 2030 ended at 98.72 rupees, yielding 6.03%, against 98.88 rupees and 6.01% yield at the previous close.

Technically, the USDINR Spot pair resistances are at 74.20 and 74.35. Supports are at 74.00 and 73.80. The USDINR Spot pair could trade in a range of 73.90-74.20 levels.

The Dollar held on to the previous week's gains on Monday afternoon trade in Asia after the Fed's surprise hawkish incline.

Technically, the Dollar Index above $92.00 will continue its bullish momentum. Resistance is at $92.30-$92.60 levels. Support is at $91.90-$91.77 levels.

Source : Equity Bulls

Keywords