Buy USDINR; target of : 77.00 : ICICI Direct

Buy USDINR; target of : 77.00 : ICICI Direct

ICICI Direct, US dollar slipped from its multiyear high amid profit taking. However, sharp downside was cushioned on decline in US stock markets and surge in US treasury yields.





May 02, 2022 / 09:04 AM IST





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ICICI Direct's currency report on USDINR

US dollar slipped from its multiyear high amid profit taking. However, sharp downside was cushioned on decline in US stock markets and surge in US treasury yields. Further, concerns about global economy and hawkish Fed compared to its peers bolstered demand for dollar. Additionally, data showed US consumer spending increased more than expected in March and inflation remain elevated • Rupee future maturing on May 27 appreciated by 0.20% amid retreat in dollar from its multiyear high and on anticipation of inflows related LIC IPO • Rupee is expected to depreciated today amid risk aversion in the global markets and firm dollar. Market sentiments are hurt on fears that soaring inflation and rising interest rates will hurt global economic growth. US Federal Reserve is likely to raise interest rates by 50bps and announce plans to reduce its $9 trillion balance sheet in its upcoming policy meet. Further, rupee may slip on surge