INR forecast: INR flat around 68.67 as against previous close of 68.68 and may trade the day between 68.40-68.80 under two way price action.
In the overseas market:
- USD edged lower against its rival currencies taking time out from its recent rally against EUR, GBP & CNY. CNY gained positive momentum taking some sigh of relief from trade war concern. However we are of the view that this will short live and CNY will continue to weaken in near future.
- Crude price shot hight above 74.50 after renewed sanction by U.S come into force from yesterday. In its latest speech on Iran, U.S president Trump warned it’s allies including India to pause its trading activity with Iran. While Iran condemned U.S trade sanction but agreed to abide them.
- The People’s Bank of China (PBOC) set the Yuan reference rate at 6.8313 vs. previous day’s fix of 6.431.
This morning most of Asian currencies and equities are mixed.