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Market Roundup 

The Indian rupee is expected to open slightly higher as risk assets recovered while the haven dollar and gold weakened. The forward markets suggest the spot USDINR could open around 83.35 fromthe previous 83.37.

On Monday, spot USDINR declined 10 paise to 83.37 amid dollar inflows from the ongoing FPO. The recovery in domestic equities and lower crude oil prices also weighed on the pair lower. The bias for the pair remains sideways to bullish and expecting downside support at 83.20 and resistance at 83.70.

The dollar is little changed as the S&P 500 Index advanced nearly 1% ahead of tech earnings reports and data later this week. Risk-sensitive commodity currencies led G-10 gainers amid rising industrial metal prices and share gains; WTI oil is little changed and gold fell asIran/Israeltensions appeared to ease.

It is a slightly positive start for the Asian equities as US equities on Monday gained. The S&P 500 increased by 0.87%, and the NASDAQ gained 1.11%. US Treasury yields dropped slightly on Monday – probably as geopolitical tensions continued to ebb.

Markets are currently pricing in a 46% chance of the Fed's first rate cut starting in September, with November not far behind at 42%, according to the CME FedWatch Tool.

There was nothing of note on yesterday’s G-7 macro calendar. Today we get a bargeload of preliminary April PMI data from the G-7 including the US and the Eurozone. Manufacturing PMI data for India may deliver a small statistical pullback after months of strong readings. The manufacturing PMI was 59.1 in March after three months of solid gains. The service sector PMI has been steadier and registered 61.2 in March. We don’t expect much change there

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