Rupee - Sep 27, 2021 - Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

The Indian Rupee depreciated against the U.S. dollar on Monday, weighed down by a rise in crude oil prices which rose to their highest in almost 3 years.

While a rebound in the dollar index on Monday afternoon trade and weaker EM's and Asian currencies also weighed on sentiments.

The Rupee ended at 73.84 compared with 73.70 in the previous session.

However, a combination of exporter selling, FPI flows and renewed risk appetite in the region kept depreciation bias capped this Monday.

Technically, the USDINR Spot pair has closed above the 200-DMA at 73.57 but 73.96 will act as immediate resistance. The USDINR Spot pair could trade in a range of 73.50-74.00 levels.

In the overseas markets, the dollar index rebounded from the lows of the session this Monday afternoon trade, while the Euro was flat after Germany's election results.

This week could be an eventful one, as several Federal Reserve officials are due to speak, including Chairman Jerome Powell on Tuesday and Wednesday.

Apart from Chairman Jerome Powell U.S. Treasury Secretary Janet Yellen will also testify this week.

Additionally, speeches from European Central Bank (EBC) President Christine Lagarde Bank of England (BOE) Governor Andrew Bailey and Bank of Japan Governor Haruhiko Kuroda will also be keenly awaited.

Technically, the Dollar Index could see sideways momentum where it holds a resistance zone at $93.55-$93.80 levels where support is at $93.15-$92.98 levels.

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Source : Equity Bulls

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