Rupee - August 9, 2021 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

The Indian Rupee depreciated against the U.S. as strong U.S. jobs data increased expectations that the U.S. Federal Reserve would hike interest rates and begin asset tapering earlier than expected.

The Rupee ended at 74.26 compared with 74.16 in the previous session. The rupee has traded in a narrow 7-paise band in today's session.

Most of its Asian and EM peers were under pressure today, following an uptick in the dollar index and the U.S. 10-year Treasury yield and weighed on sentiments.

Some respite came as oil prices slumped, with the benchmark Brent crude contract slipping below the $70-per-barrel mark for the first time in over 3 weeks.

Technically, the USDINR Spot pair supports are at 74.16 and 74.00. Resistances are at 74.40 and 74.55.

The Dollar Index was on Monday afternoon trade in Asia amid lack of triggers, however downside was capped after strong labour market data encouraged investors to bring forward their bets on the Federal Reserve reducing its pandemic-era stimulus.

Technically, the Dollar Index resistances are at $92.95 and $93.30. Supports are at $92.65 and $92.50.

Source : Equity Bulls

Keywords