(Time Zone: Arizona, USA)
Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities
The Indian Rupee depreciated on Friday as the dollar index extended yesterday's rebound amid the weak risk mood in the region.
The Rupee ended at 73.01 to the dollar against 72.83 in the previous session.
However, for the week, the local unit appreciated aided by a slew of foreign dollar inflows and exporters' greenback sales. The rupee traded in a broad 72.58 to 73.78 range this week.
Most Asian currencies were weak this week and capped further appreciation of the local unit.
Another potential risk factor for the rupee this week was higher crude oil prices. Brent crude is up by 3% this week.
The one-year forward premium was at 3.58 rupees against 3.53 rupees in the previous session.
Technically, the USDINR spot pair immediate resistance is 73.15 and a break above will push the pair to 73.38 levels. Support is at 72.95 and 72.80.
Meanwhile, the Dollar Index was trading with solid gains this Friday afternoon trade, while most of the non-dollar currencies are trading weak this Friday afternoon trade after Federal Reserve Chair Jerome Powell signalled no immediate move to address the surge in bond yields.
Investors now await non-farm payrolls data tonight.
Technically, the dollar index range immediate resistance is at 92.00 and a break above will push the index to 93.50 levels. Support is at 91.50 and 91.15.
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