Buy USDINR Jul @ 95.6 SL 95.4 TGT 95.8-96 - Kedia Advisory
USDINR
BUY USDINR JUL @ 95.6 SL 95.4 TGT 95.8-96.
Observations
USDINR trading range for the day is 95.56-96.1.
Rupee weakened to its lowest level in over four weeks, as renewed tensions in the Middle East sent crude oil prices sharply higher.
Sentiment deteriorated amid renewed concerns over India's trade balance after Iran expanded its attacks to Qatar and the UAE following fresh US strikes on Iran.
India's foreign exchange reserves rose to $674.19 billion as of July 3, compared with $666.93 billion a week earlier
EURINR
SELL EURINR JUL @ 109.7 SL 110 TGT 109.4-109.1.
Observations
EURINR trading range for the day is 109.12-109.92.
Euro gained amid weakness in Rupee as investors responded to escalating Middle East tensions.
ECB policymaker Yannis Stournaras that the central bank is "back to square one" in its battle against high inflation in the eurozone.
Markets expect two additional hikes over the next year, with the first likely in September, to counter inflation driven by rising fuel costs tied to the Iran conflict.
GBPINR
SELL GBPINR JUL @ 128.5 SL 128.8 TGT 128.2-127.9.
Observations
GBPINR trading range for the day is 128.17-128.71.
GBP gained supported by Rupee weakness as investors reacted to rising Middle East tensions.
Markets now anticipate at least one rate increase later this year, with a possibility of a second.
Andy Burnham is set to become the new Labour party leader when the leadership contest ends on Friday and is expected to be officially appointed as PM.
JPYINR
SELL JPYINR JUL @ 59.5 SL 59.7 TGT 59.3-59.1.
Observations
JPYINR trading range for the day is 59.5-59.5.
JPY gained amid Rupee weakness as escalating tensions in the Middle East pressured the currency.
Japan’s economy and currency remain particularly vulnerable to higher oil prices due to the country’s heavy reliance on crude imports from the Middle East.
Finance Minister Satsuki Katayama said the government would encourage domestic pension funds to increase their allocations to Japanese financial assets.
