Rupee - September 1, 2021 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

The Indian Rupee depreciated for the 1st time in 3 sessions against the U.S. dollar on importing buying dollars to cover their payables and dollar short covering.

The Rupee ended at 73.09 compared with 73.00 in the previous session.

The unit had briefly appreciated to an intraday and 2-month high of 72.93, but trimmed gains on dollar demand and speculating that the Reserve Bank of India may have intervened.

Technically, important resistance zone for the USDINR spot pair is at 73.15-73.20 and a break above could push the pair to 73.45 levels. On the downside, support zone lies between 72.85-72.75 and a break below could pull the pair to 72.50 levels.

The U.S. Dollar Index was flat ahead of the important nonfarm payroll number on Friday.

Before that data, the private payrolls data, due today, and the initial jobless claims number, due tomorrow, will provide cues on how the U.S. labour market has been faring.

The ISM August Manufacturing print is also expected later today.

On the charts, range for the dollar index is $92.80-$92.45, breakout on either side will provide us fresh ranges.

Source : Equity Bulls

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