- USD/INR remains heavy around intraday low, reverses previous day’s gains.
- Indian Foreign Minister eyes strong economic recovery even as gross GST revenues disappoint optimists.
- Covid woes, mixed US data weigh on sentiment ahead of FOMC minutes.
USD/INR struggles to overcome the intraday low of 74.62, down 0.14 near 74.65 amid early Wednesday. The Indian rupee (INR) pair jumped the most since mid-June the previous day as broad risk-off mood joined downbeat Goods & Services Tax (GST) data from India.
“India’s gross goods and services tax revenue in June declined for a second straight month to fall below the one-trillion-rupee level for the first time in nine months,” Reuters quotes NewsRise. The details suggest that the Gross GST collection in June stood at 928.49 billion rupees ($12.45 billion), down from 1.03 trillion rupees collected in the previous month.
Even so, Indian Foreign Minister Subrahmanyam Jaishankar said, per Reuters, “India coming out of the second wave of COVID-19, will witness strong economic recovery.”
It’s worth noting that there have been mixed play of the coronavirus (COVID-19) conditions in India amid alleged inaccurate data and slow vaccination amid claims of overcoming the second wave of the covid. Some of the national scientists have also warned over the possibilities of the third wave erupting in September-October.
On a broader front, downbeat US ISM Services PMI and the outbreak of various variants, which do resist vaccines, also heavy the mood, which in turn put a safe-haven bid under the US dollar. However, the lowest 10-year US Treasury yields since late February probes the greenback buyers amid the pre-FOMC minutes caution by the press time.
While the FOMC minutes will be watched for gauging the divide among policymakers, covid headlines will be more important for USD/INR traders.
With a daily close beyond the mid-April lows surrounding 74.50-55, USD/INR bulls are capable to aim for the yearly top surrounding 75.65. Though, the 75.00 threshold and 75.25-30 may offer intermediate halts during the fall. On the contrary, bears need to remain cautious until the quote stays beyond 74.00.
Additional important levels
|Today last price||74.6075|
|Today Daily Change||-0.1659|
|Today Daily Change %||-0.22%|
|Today daily open||74.7734|
|Previous Daily High||74.8124|
|Previous Daily Low||74.2544|
|Previous Weekly High||74.8958|
|Previous Weekly Low||74.14|
|Previous Monthly High||74.5135|
|Previous Monthly Low||72.4854|
|Daily Fibonacci 38.2%||74.5993|
|Daily Fibonacci 61.8%||74.4676|
|Daily Pivot Point S1||74.4145|
|Daily Pivot Point S2||74.0555|
|Daily Pivot Point S3||73.8565|
|Daily Pivot Point R1||74.9724|
|Daily Pivot Point R2||75.1714|
|Daily Pivot Point R3||75.5304|
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.