Market Highlights & Commentary:
- INR opened flat at 69.55 as against yesterday close of 69.51 and may trade in the day between 69.35-69.65.
- Yesterday oil price fell below 60 levels in initial trading hours while later in the day oil price surge by 2% near to 62 levels on news of tension in St of Hormuz and this resulted in small weakness in INR
- Today India’s trade deficit is scheduled to be released which is expected to see a marginal fall by USD 1-2 owing to fall in oil price. Last reading was USD 15.33 Bn.
- Going ahead the key events would G20 outcome ( June 28-29) and Trump tweet. Any escalation between US and China could mean some weakness in EM currencies and in INR.
- INR technically may see further depreciation today and the possibility of targeting 69.70 is there. Exporters are suggested to cover receivables around 69.65+ while importers may wait for better levels.
- This morning most of the Asian currencies marginally weak and equities are mixed.