- Indian Rupee (INR) holds steady after rising from all-time low
- Domestic equities & oil rise
- US Dollar (USD) eases after strong gains across the week
- US retail sales due
The US Dollar Indian Rupee (USD/INR) exchange rate is holding steady on Friday after strong gains across the week. The pair settled +0.3% higher on Thursday at 79.89. At 11:00 UTC, USD/INR trades -0.03% at 79.86. The pair is set to rise 0.77% across the week, marking its fourth straight week of gains.
The Rupee is holding steady today after falling to a record low this week as investors shunned riskier assets. Today domestic equities are rising as the market mood improves.
Consumer goods companies helped the indices higher with the Sensex closing 0.65% higher and the Nifty 50 rising0.7%.
Oil prices are on the rise today with West Texas rising 1.7%. However, oil prices are set to lose over 5% across the week.
The US Dollar is falling across the board, The US Dollar Index, which measures the greenback versus a basket of major currencies, trades -0.13% at the time of writing at 108.40 after five straight days of gains. The USD is set to rise 1.4% across the week in its third straight week of gains.
The USD is edging lower after less hawkish comments from Federal Reserve speakers saw investors rein in aggressive Federal Reserve bets. Federal Reserve official Christopher Waller said that the market has run away with itself with the idea of a 100 basis point rate hike. He supported a 75 basis point hike but said he was still open to a 100 basis point hike. The other Federal Reserve Hawk James Bullard also said that he supports a 75 basis point rate hike.
These comments helped to bring down expectations of a 100 bp point rise to 45%, down from 80% yesterday, adding pressure to the USD.
Looking ahead, US retail sales are expected to rebound 0.8% up from -0.3% in May. US consumer confidence is expected to fall to a fresh record low of 49.9 amid surging prices.