- Indian Rupee (INR) falls after two days of gains
- Domestic equities jump higher and oil rises
- US Dollar (USD) rises after GDP beats forecasts
- Jobless claims also be forecasts
The US Dollar Indian Rupee (USD/INR) exchange rate is rising on Thursday after two straight days of losses The pair fell-0.75% yesterday, settling at 81.90, trading in a range between 81.96 to 82.53. At 16:00 UTC, USD/INR trades +0.42% at 82.24.
The Indian Rupee slipped lower today after two days of gains, boosted by hopes of a dovish pivot from the Fed.
Domestic equities ended the day higher as rising metal prices lifted stocks. The Nifty 50 rose 0.46% at 17736, and the Sensex ended the day 0.36% higher at 59,756.
Oil prices are rising on Thursday. At the time of writing West Texas Intermediate trade 1.77% higher at 89.13, on optimism over strong demand after US exports rose to a record level. Attention will start to shift toward the OPEC meeting next week. OPEC+ cut output by 2 million barrels per day in the October meeting.
The US Dollar is rising across the board. The US Dollar Index, which measures the greenback versus a basket of major currencies, trades at +0.48% at the time of writing at 110.29 after booking losses of 1.2% in the previous session.
The US dollar is rising today, snapping a five-day losing streak after better-than-expected data cooled expectations that the Fed will start to cool the pace of rate hikes.
US GDP rose by 2.6% annualized in the third quarter, this was after two consecutive quarters of contraction. However, the headline number masked signs of a softening consumer demand, instead being driven by a narrowing of the trade deficit. Weaker demand curbed imports while exports jumped thanks mainly to oil.
Meanwhile, jobless claims rose by a less-than-expected 217,000, up from 214,000 but less than the 220,000 forecast. This suggests that the jobs market is showing resilience even as the economic outlook deteriorates.
The data comes as the Federal Reserve is set to hike rates again by 75 basis points next week,