Receive up-to-the-minute news updates on the hottest topics with NewsHub. Install now.

Sell USDINR; target of 64.85

10 April, 2018 5:29 AM
111 0
Sell USDINR; target of 64.85

ICICI Direct expects USDINR to meet supply resistance at higher levels. Utilise upsides in the pair to go short in USDINR.

Spot Currency The rupee extended losses yesterday as market participants remained cautious in the backdrop of US - China trade war concerns. However, it is expected to open on a strong note amid a soothing speech by the Chinese premier • The US$ declined against majors as the Euro rose to highest levels in four - sessions amid promises of more reforms and trade by the Chinese premier . Market were calmed by the Chinese premier Xi’s speech. As such, JPY is currently lower while risk assets rose. Safe haven assets could see some more profit booking in the midst of easing US - China trade tensions.

Sovereign bonds rose over risks of cross border trade tariff war escalation. However, yields may remain in a range ahead of the upcoming Karnataka state elections • US 10 - year yields were mildly up at 2. 78 % ahead of Chinese premier Xi speech. We expect yields to remain in a range as lower US employment data may raise concerns on US inflation growth.

The near - month dollar - rupee April contract on the NSE was at 65. 14. The April contract open interest declined 3.76 % from the previous day • We expect US$INR to meet supply resistance at higher levels. Utilise upsides in the pair to go short in US$INR.

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Source: moneycontrol.com

Share in social networks:

Comments - 0