FX Monitor - May 12, 2020 - Geojit

- Rupee closed at 75.73 yesterday, down 19 paise against it's previous close of 75.54.
- BIL set reference rate for dollar at 75.4411 and euro at 81.7983.
- In economic news, IIP(Mar) and CPI(April) are due today.
- US dollar fell against a basket of currencies on safe haven demand.
- On the data front, US inflation for April is scheduled later in the day.
- US Fed Chairman Powell is scheduled to speak on Wednesday.
- Euro fell while UK's pound waited more cues from Brexit.

USDINR Outlook

Tracking the weakness in the domestic markets and strengthening of USD overseas made the Indian currency to end the day lower by 19 paise. After opening at 75.55 a dollar, the local unit trade in the range of 75.55 and 75.77 and ended at 75.73.

FIIs we're buyers in the capital market segment; bought shares worth RS 534.87cr on 11 May as per exchange's provisional figures. DIIs, on the other end were sellers to the tune of RS 821.6cr for the same period. Oil prices to take cues from UAE's announcement to cut oil production in June. On the domestic front today industrial production and retail figures are scheduled to be released.

For USDINR pair, 75.93 and 76.25 will act as resistance levels while a fall below 75.64 will take to the currency towards 75.44.

Source : Equity Bulls

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