INR forecast: INR likely to open marginally strong around 71.90-71.92 against yesterday close of 71.99 and may trade the day between 71.80-72.20 under two way price action.
Yesterday we saw first sign of RBI defending INR quite strongly around 72.00. Globally, there is some talk of USD seeing reversal in strength. If USD indeed sees reversal, we may see some respite in INR. We shall be guided by price action.
Yesterday 2+2 dialogue has nothing negative for markets and on face of it appeared hat US and India may get closer on defence.
Yesterday in NY times there was an anonymous article from one important person in Trump administration. The persons criticized Trump and markets believe that it could snowball into a controversy and add to other probe going against Trump campaign team.
U.S Trump yesterday indicated that after China, he may target Japan to settle its trade issue. In an telephonic interview, Trump expressed its concern over U.S trade deficit along with its trading partner like Japan. Most of the safe heaven’s including JPY & Gold gained market attention surging higher on cautioned note.