>> SELL USDINR DEC 2018 @ 70.10 SL 70.24 TGT 69.90-69.78. NSE
Indian Rupee appreciated by 1.22 percent as dollar index weakened by 0.0.1 percent during the day mainly on account of fall in oil prices and recovery in domestic equity market. Meanwhile, bond yield on the 10 year bond dropped by 9 basis points to hit a seven month low of 7.64 after RBI announced additional purchase of Rs. 40,000 crore from the open market in Dec’18. Investors would be keenly watching the G20 summit on 30Th Nov and 1st Dec.
Donald Trump is likely to impose additional tariffs on Chinese goods of $200 billion from 10 percent to 25 percent if the trade talks between US and China fail. US economic advisor Larry Kudlow stated that Beijing’s response to Trump‘s demands has been very disappointing and unsatisfactory. In Jerome Powell’s latest speech he mentioned that he tightening cycle can come to end faster than expected. Unemployment claims for the week from US came in at 234,000 against market expectations of 221,000. Meanwhile, FOMC announced their meeting minutes and as expected the Fed is likely to raise interest rates in their mid-Dec meeting.
>> BUY EURINR DEC 2018 @ 79.60 SL 79.40 TGT 79.85-80.10. NSE
EURUSD appreciated by 0.22 percent yesterday while EURINR appreciated by 0.58 percent during the same time frame.
EU commission had rejected Italian budget and asked them to revise their spending plans. Italy is ready to revise its budget deficit by 0.2 percent down to 2.2 percent which is still above EU’s target of 2 percent. Meanwhile, German CPI came in at 0.1 percent for Oct’18 against market expectations of 0.2 percent.
>> SELL GBPINR DEC 2018 @ 89.40 SL 89.70 TGT 89.10-88.90. NSE
GBP depreciated against the US dollar by 0.25 percent yesterday while GBPINR appreciated by 1.46 percent.
CPI from UK came in at 2.4 percent against market expectations of 2.5 percent for Oct’18. After securing a deal from EU, PM will try to convince her ministers for the deal before the voting on the deal on 11th Dec’18. Meanwhile, BOE published its report on Brexit, saying that in the worst case scenario, Brexit will lead to 8% fall in GDP short-term while the Pound could depreciate as much as 25%
>> SELL JPYINR DEC 2018 @ 61.70 SL 61.90 TGT 61.45-61.32. NSEAFTER POST CONTENT
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