India-US trade talks to restart Friday, USD/INR bounces-off 11-month lows

Dhwani Mehta FXStreet

The Indian news outlet, the Financial Post, carried a story quoting a spokesperson for the US Trade Representative (USTR), as saying that Indian and the US trade negotiators will meet on Friday.

However, they see a limited sign of a compromise on a series of protectionist measures taken by the two countries in the recent months.

A USTR spokesperson said: “Since India’s election period has now passed, USTR officials are visiting India for relationship-building with Indian government counterparts.”

Meanwhile, the USD/INR pair is seen making minor recovery attempts from the eleven-month lows of 68.293 reached earlier today. At the press time, the cross trades near 68.40 levels, almost unchanged on the day.

The Indian Rupee remains buoyed by the carry trade advantage, as the US dollar continues to get sold into Fed rate cut expectations amid falling Treasury yields, in the wake of Wednesday’s dovish testimony by the Fed Chair Powell.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

EUR/USD revisits 1.1780, or daily lows

EUR/USD now comes under further selling pressure, breaking below the 1.1800 support to reach daily troughs on Thursday. The pair’s decline comes in response to a sudden bout of USD strength amid steady geopolitical tensions. Ealier in the day, the ECB’s Lagarde delivered cautious remarks, although the currency remained apathetic.

GBP/USD makes a U-turn, challenges 1.3500

GBP/USD rapidly leaves behind Wednesday’s strong advance, putting the 1.3500 support to the test on Thursday. Cable’s deep pullback follows the strong gains in the Greenback, while investors continue to pencil in a potential BoE rate cut in March.

Gold sticks to the bid bias, flirts with $5,200

Gold is now facing some downside pressure, hovering around the $5,170 region on Thursday. The precious metal adds to Wednesday’s optimism despite the Greenback trades in a firm fashion, although geopolitical tensions in the Middle East keep the yellow metal bid for now.