ICICI Direct, The US dollar increased 0.12% yesterday amid a rise in US treasury yield and robust economic data.
December 01, 2021 / 08:28 AM IST
ICICI Direct’s currency report on USDINR
The US dollar increased 0.12% yesterday amid a rise in US treasury yield and robust economic data. Yields rose as worries over a new variant faded, diminishing flight to safety bid. Further, US President Joe Biden said the country would not reinstate lockdowns this winter • Rupee future maturing on December 29 depreciated by 0.22% yesterday amid month end dollar demand from importers, persistent FII outflows and concern over new virus variant identified in South Africa • The rupee is expected to depreciate further on a strong dollar and persistent FII outflows. Further, investors will remain vigilant ahead of US Federal Reserve Chairman Powell’s testimony before Senate banking committee. However, a sharp fall may be prevented on rise in risk appetite in global markets as investors shrugged off Omicron worries. Additionally, market participants will take cues from India’s GDP data.
Intra-day strategy
| US$ INR December futures contract (NSE) | |
| Buy USDINR in the range of 75.23-75.25 | |
| Target: 75.55 | Stop Loss: 75.10 |
| Support: 75.10/75.00 | Resistance: 75.45/75.55 |
Disclaimer:
Read More