Euro rose by 0.05% on Friday due to weak dollar and surge in German bond yields - ICICI Direct
Follow us Now on Telegram ! Get daily 10 - 12 important updates on Business, Finance and Investment. Join our Telegram Channel
Currency Outlook:
Rupee Outlook:
• Rupee depreciated on Friday amid dollar demand from importers and surge in crude oil prices. Meanwhile, sharp fall in rupee was prevented due to rise in risk appetite in the domestic market and FII inflows.
• Rupee is likely to appreciate today on expectation of further correction in dollar. Dollar is likely to move south on anticipation that ease in price pressure could give Fed more confidence that it can cut rates. Additionally, rise in risk appetite in the domestic markets and FII inflows will support rupee. Moreover, India’s retail inflation is likely to cooled down further in month of January and remained under RBI target band of 2%-6%. USDINR Feb likely to slip towards 82.85 levels as long as it sustains below 83.15 levels
Euro and Pound Outlook:
• Euro rose by 0.05% on Friday due to weak dollar and surge in German bond yields. 10-yr yield moved higher on hawkish comments from ECB Governing Council member Kazaks. For today, EURUSD is likely to hold the support near 1.0770 level and rise towards 1.0830 level amid soft dollar, hawkish comments from ECB officials and optimistic global market sentiments. Meanwhile, investors will remain cautious ahead of economic data from euro zone to get cues on policy path. EURINR Feb may rise towards 90.00 level as long as it trades above 89.40 levels
• Pound is expected to rise towards 1.2680 level amid weak dollar and rise in risk appetite in the global markets. Further, pound may rally on growing optimism that BOE will holds higher for longer duration compare to its peers. GBPINR Feb is likely to move north towards 105.30 level as long as it stays above 104.60 levels
athttps://secure.icicidirect.com/Content/StaticData/Disclaimer.html
SEBI Registration number INZ000183631
