Anindya Banerjee, DVP, Currency Derivatives & Interest Rate Derivatives at Kotak Securities Ltd.
"USDINR remained range bound in a narrow range day. Spot closed flat near 73.89. Suspected RBI intervention is preventing Rupee from appreciating. Risk on a rally in stock markets, lumpy $ inflows from corporates, and carry trade interest is keeping the Rupee bid. However, aggressive intervention from RBI would prevent any sharp slide in the USDINR pair. Therefore we expect a range of 73.60 and 74.25 on spot over the near term with a downward bias."