Stock market today live updates | Dollar Rupee Outlook
The Indian Rupee declined by 0.05% against the strong US Dollar today, influenced by an overnight surge in crude oil prices. Anuj Choudhary, a Research Analyst at Sharekhan by BNP Paribas, commented on the Dollar and Rupee outlook, stating that the US Dollar strengthened on weak Pound due to disappointing labour market data from the UK. Despite this, positive domestic markets and FII inflows helped cushion the downside for the Rupee. Choudhary expects the Rupee to trade with a slight negative bias against the strong US Dollar and weak Asian and European currencies. A potential bounce back in crude oil prices may further pressure the Rupee, but record high domestic equities and fresh foreign inflows could support the Rupee at lower levels.
Choudhary also mentioned that any intervention by the RBI, as the Rupee is trading near record-low levels, may support the local unit. Traders are advised to keep an eye on the weekly unemployment claims data from the US and the monetary policy decision by the ECB. The USDINR spot price is expected to trade in a range of Rs 83.40 to Rs 83.90.
Overall, the outlook for the Rupee remains cautious due to external factors, but domestic market conditions and potential interventions could provide some support. Investors and traders are advised to stay informed and monitor key economic indicators for further insights into the currency market.
