USD/INR Price News: Rupee drops to 73.00 even as OECD raises India’s GDP forecasts

Dhwani Mehta FXStreet

The Organization for Economic Co-operation and Development (OECD) announced upward revisions to India’s economic growth projections for the fiscal year (FY) 2021-22, in its interim economic outlook released Tuesday.

Key takeaways

India's economic growth rate raised by 4.7 percentage points at 12.6% for 2021-22.

It pegged the economic growth rate to ease to 5.4% in 2022-23, which would be higher by 0.6 percentage points than its earlier estimates.

India would share its fastest-growing large economy tag with Indonesia. The Indian economy was projected to decline by 8% in the current fiscal year. However, OECD believes that contraction would be less steep at 7.4%.

USD/INR rebounds in Asia

The Indian rupee failed to benefit from the OECD’s upward revision to the growth forecasts, as USD/INR rebounded from three-day lows of 72.77.

The spot currently trades at 72.97, up 0.27% on a daily basis.

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 looks sidelined below 1.1600

EUR/USD remains on the back foot in the latter part of the NA session on Thursday, now attempting a consolidative theme in the sub-1.1600 region. A more cautious market mood, driven by the escalating conflict in the Middle East, together with broad-based strength in the US Dollar, is favouring the continuation of the leg lower in spot.

GBP/USD stays offered near 1.3340

GBP/USD fades Wednesday’s uptick and trades with decent losses in the 1.3340 zone in the latter part of Thursday’s session. Cable’s weakness, alongside the rest of the risk complex, follows the strong performance of the Greenback amid intense geopolitical jitters.

Gold falls as demand for the US Dollar resurges

Gold turns lower on Thursday, slipping back toward the $5,100 area. Persistent strength in the US Dollar (USD) is preventing the precious metal from building a meaningful recovery, even as markets remain risk-averse amid the deepening conflict in the Middle East.

Crypto Today: Bitcoin, Ethereum, XRP hold weekly gains despite US-Iran war

The cryptocurrency market is gaining strength on Thursday, building on Wednesday's upswing, which saw Bitcoin reach a weekly high above $74,000. Ethereum and Ripple are moderating their recent gains amid uncertainty stemming from the escalating war in the Middle East.

Two PMIs, two Chinas

China’s economic data are often treated with a degree of caution by global investors. The challenge is not necessarily that the numbers are incorrect, but that they can describe very different parts of a vast and complex economy. Nowhere is that more evident than in China’s PMIs.

Ripple tests recovery strength amid steady ETF inflows, growing retail interest

Ripple (XRP) continues to demonstrate notable resilience as the cryptocurrency market navigates the persistent war in the Middle East after the United States (US) and Israel attacked Iran on Saturday.