large scale image
LCP Image

Back to TSCFM News

Rupee turns bullish following foreign fund inflows

March 06, 2023

Rupee turns bullish following foreign fund inflows
The Indian rupee marked the second weekly gain and best performer following the Chinese yuan amid foreign fund inflows, improvement in risk appetite after foreign investors invested in Adani group’s stock and appointment of the committee by the supreme court to inquire about the group. Spot rupee gained almost a percentage to settle just above 82.

Going ahead, the positive trend in the rupee could follow this week amid risk on sentiments backed by foreign investment. Spot USDINR has support at 81.30, the rising trendline adjoining the previous swing low of 78.49, 79.03 and 80.88, and resistance at 82.55.

Last week, the S&P 500 gained 1.9%, the first weekly gain in a month. A gauge of the dollar’s strength posted its first weekly loss since January as optimism about China’s growth and an eventual peak in US policy rates sent US shares sharply higher. Fed Chair Powell’s semi-annual testimony this Tuesday means the appetite for selling the dollar will remain relatively contained after eroding February gains.

The investors can earn about 5% in US Treasuries, the highest since 2007, at the start of March, which may be a strong headwind for most risk assets. The yields on 10-year US Treasuries ended at 3.95%, pulling back from 4.09%, hit on Thursday for the first time since November.

Important Links:

Recommended for you ...

Modi, Mauritius, and Sri Lanka Leaders Unveil Digital Payment Services
Modi, Mauritius, and Sri Lanka Leaders Unveil Digital Payment Services

February 12, 2024

Public Sector Banks Surpassing Private Peers, Investors Reconsidering Choices
Public Sector Banks Surpassing Private Peers, Investors Reconsidering Choices

February 12, 2024

Indian Banks Seek RBI Permission for Global Bond Trading Ahead of Inclusion in Indices
Indian Banks Seek RBI Permission for Global Bond Trading Ahead of Inclusion in Indices

February 12, 2024

Enquire Now
REQUEST A CALLBACK
Chat on WhatsApp