INSUBCONTINENT EXCLUSIVE:
In an early trade session, the local unit declined nine paise to 74.55 against the greenback.The rupee closed at 74.40 against the
17 paise against the greenback
Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six peers, advanced 0.10 per cent to 92.91.What
So the USDINR spot will remain a little directionless until then as with the rising covid cases in the US, the Fed may communicate a dovish
However, any hawkish commentary or hints at tapering the asset purchase program will surge the USDINR spot above 75 zone
Derivatives at Kotak Securities:After two weeks of low volatility, USDINR saw some decent two-way moves
Prices oscillated between 74.35 and 75.10 levels
However, the month-old range between 74.20 to 75.10 remains intact
The reason being RBI remains a major buyer of US Dollars at lower levels and corporate $ flows and FDI inflows are capping the upside
The end result is a range of one per centNext week prices may continue in the current range as long as RBI remains a major buyer of US
The US central bank meeting on Wednesday is not expected to deliver any new information and hence would keep USDINR within 74.20 and 75.00
days, the global equity market could remain well supported; although the spread of the Delta variant and its implication could remain a
headwind for those markets where vaccination drive is running on a slower note.RBI seems to add more fuel into their reserves for future
use; that is they are buying on every dip around 74.30-40 zone.The importer-RBI pair could favor buying on every dip whenever inflows hit
the market and the rupee appreciates towards 74.30 levels
On the higher side exporters are making a roof of 74.90-75.00 levels by selling forwards
In nutshell, 74.30 to 75.00 would be a short-term range for the USDINR pair.''Kshitij Purohit, Lead International - Commodities at
CapitalVia Global Research Limited:''Due to a strong drop in global markets and a severe drop in US yields, the USD/INR hit a high of 74.95
The currency pair was on the verge of breaking through the 75.00 resistance level when the RBI intervened to sell dollars in large
quantities, causing the dollar to fall to 74.61 on Tuesday.RBI may be inclined to keep a weaker rupee just above the 74.30 level to maintain
a competitive exchange rate and support export growth, as demand in overseas markets is picking up in the backdrop of good export growth
even breached the major support level of 74.55-74.53, due to which we witnessed a sharp fall in the prices till the first half of the
session.''Domestic Equity Markets Today:On the domestic equity market front, the BSE Sensex ended 138.59 points or 0.26 per cent higher at
the first stock market listing of a startup valued at more than $1 billion
The exuberance though was not broad based, the market breadth remained negative for the day
The weekly trend too remained marginally negative as all the major market cap based broader indices closed marginally in the negative for
The strong show of IT stocks continued whereas slippages in reported asset quality and expectations of rising NPA risks dragged down the
roller-coaster type for the market
The market went below the lower boundary, which was at 15600/52100, but as retail and domestic investors who were following buy on dip
strategy, entered into the market that has stuck day traders on the wrong side.During the week, cyclical sectors remained weak whereas
formation after hitting the support of 15600/52100, however on a daily basis, the market got arrested at the upward boundary which was at
15900/53100.In the coming week, 15700/52500 would be trend decider and below that we would see the market hitting 15660/52350 and
15580/52000 levels.''According to exchange data, the foreign institutional investors were net sellers in the capital market on July 22 as
