- Indian Rupee (INR) holds steady after gains yesterday
- Indian companies impress with earnings
- US Dollar (USD) rises after GDP data
- Consumer spending remains strong
The US Dollar Indian Rupee (USD/INR) exchange rate is holding steady after losses in the previous session. The pair fell -0.27% in the previous session, settling at 81.74. At 16:30 UTC, USD/INR trades +0.2% at 81.75 and trades in a range of 81.60 to 81.88.
The Indian Rupee is showing resilience against the stronger US as it tracks Indian share prices higher. Strong earnings from major firms have helped to overshadow weakness in the broader global financial market.
The nifty 50 closed no .5% higher while the Sen sex gained nought .5% as well. Class A has now gained for the past six straight days thanks to strong earnings from several heavyweights including Reliance Industries.
Separately oil prices were holding steady after falling over 5% across the past two days.
The US Dollar is steady against the Rupee but rising against major peers. The US Dollar Index, which measures the greenback versus a basket of major currencies, trades +0.1% at the time of writing at 101.57, rebounding after losses yesterday.
The US dollar is moving higher on Thursday as investors digest the latest US economic growth data. The Q1 GDP reading showed that the U.S. economy grew 1.1% quarter on quarter, down from 2.6% growth in the final quarter of 2022 and well below expectations of 2% growth.
Helping the Prince the numbers, the data showed that US households continued shopping with personal consumption up 3.7% on an annual basis. He suggests that higher interest rates have not yet did heard household spending. The inflation component within the GDP reading was also strong PCE rose by 4% annualized, which is still stubbornly high. All in all, the data supports another interest rate hike from the Federal Reserve next week.
There is no more high impact in U.S. economic data due today. Attention will be turning to US cool PC tomorrow which is the fed’s preferred measure for inflation.