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THURSDAY FX OUTLOOKS:- RUPEE FIRM, DOLLAR DOWN, USA INFLATION CALM!!

USDINR

On Wednesday, USDINR likely to commence on weaker note between 82.00-82.10 level as greenback crashed to its lowest in more than a year after data showed the rise in U.S. consumer prices moderated in June, suggesting the Federal Reserve may have to raise interest rates only one more time this year.


USDINR TECHNICAL

Day Trend: - BUY ON DIP

Weekly Trend: - UPSIDE SELL

INTRADAY RANGE – 82.31 (82.22 – 82.04) 81.77


THE FOREX MARKET


  • U.S. consumer prices rose just 0.2% in June, compared with forecasts for a gain of 0.3%. The monthly rise in core prices was the smallest since August 2021. On an annual basis, U.S. core CPI advanced 4.8%, lower than market expectations for a 5% increase. That was also the smallest annual increase in more than two years.


  • The greenback also hit its lowest against the Swiss franc since early 2015 after the inflation report. It was last down 1.3% at 0.8675 francs, having fallen to a session low of 0.8660 earlier, its weakest since the Swiss National Bank removed the peg from the Swiss currency in January 2015.


  • Sterling struck a fresh 15-month high of $1.30, last trading up 0.39% at $1.2984. The pound's rally is being driven by expectations for the Bank of England to deliver more rate rises to tame UK inflation, which is the highest of any major economy.


  • USD/JPY fell 1% to 138.50, with the yen looking likely to register a sixth session of gains, the longest winning streak in about seven months as U.S. Treasury yields retreated sharply.

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