Monday, July 11, 2016

Today Rupee opens marginally lower at 67.17 per Dollar At currency Market

 
The Indian rupee opened marginally lower by 5 paise at 67.17 per dollar on Tuesday versus 67.12 Monday.

The USD-INR pair is expected to trade in the 66.90-67.50/dollar range with an appreciating bias,

The dollar near a one-week high against the yen following Japanese Prime Minister Shinzo Abe's call for a fresh round of fiscal stimulus. Also pound gained as Theresa May is set to be UK PM after Andrea Leadsom quit.

US DOLLAR INDEX (USD)

The American currency rose by 0. 3 percent in yesterday’s trading session as investors are discounting the recent robust release of economic data sets from the nation. ADP Non - Farm Employment for the month of Jun’16 increased to 172K from 168K, Non - Farm Employment rose to 287K from 11K and jobless claims dropped unexpectedly last week which meant that labour market was back on track. Moreover , the American currency soared against the Japanese Yen after a formal visit by former US Fed Chairman Ben Bernanke to the Bank of Japan governor yesterday has raised speculation that Japan might decide to provide fresh round of fiscal stimulus. All the above factors acted as a positive factor for the currency. The American currency made a n intraday high of 96.81 and closed at 96.59 on Monday.

OUTLOOK

Rupee is likely to trade slightly negative owing to strength seen in the American currency after a formal visit by former US Fed Chairman Ben Bernanke with the BoJ governor has sparked expect ation of more stimuli from Japan. This will keep the Indian Rupee pressurized against the American currency.
 
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