Author: admin
The Indian rupee closed nearly unchanged on Thursday, hovering near its weakest level in two months, with support from likely central bank intervention countering pressure from oil prices’ rally towards $100 per barrel.The rupee closed at 96.5725 per dollar, little changed from its close at 96.5650 the previous session.State-run banks were spotted offering dollars, most likely on behalf of the Reserve Bank of India, traders said.Brent jumped 4% to over $98 a barrel, putting the psychological $100 threshold in striking distance, after Yemen’s Houthis said they had struck two Saudi oil tankers, heightening fears that global oil supply disruption could…
Commerzbank’s Volkmar Baur highlights a strong Australian labor market, with 76,000 jobs added and participation back near historic highs, prompting markets to raise the implied probability of an RBA hike to 30%. Despite complications from the Iran conflict and upcoming inflation and housing data, he still expects no move in August, but sees scope for a more hawkish communication that could support the Australian Dollar.Robust jobs complicate RBA outlook”After Australian economic data had been somewhat disappointing in recent weeks, the labor market delivered a positive surprise this morning. With 76,000 new jobs created in June, the number of new jobs…
The rupee rose 5 paise to 96.48 against the US dollar in early trade on Thursday on possible intervention by the Reserve Bank even as heightened tensions in West Asia maintained pressure on global crude oil prices.FII outflows and sustained negative sentiments in the domestic equity markets added pressure on the local unit, while a weaker greenback provided some respite, forex traders said.At the interbank foreign exchange, the rupee opened at 96.53 before inching up to 96.48, up 5 paise from its previous close.The rupee depreciated by 28 paise to close at 96.53 against the US dollar on Wednesday.”State-owned banks…
EUR/JPY extends its gains for the third successive day, trading around 186.40 during the Asian hours on Thursday. The currency cross is keeping a bullish near-term bias as it holds above both the nine-day and 50-day Exponential Moving Averages (EMAs). The short-term EMA trading over the longer one reinforces an upward structure.The 14-day Relative Strength Index (RSI) at 59.46 stays in positive territory without yet signaling overbought conditions, hinting that buyers still retain control but face nearby upside constraints.The daily chart technical analysis shows the currency cross is positioned above the upper boundary of an ascending triangle, suggesting a bullish…
The Houthis, the Iran-backed group in Yemen, on Thursday claimed an attack on two Saudi oil tankers transiting through the Red Sea, identified as ENCELA and LAYLIA, saying the vessels violated the naval blockade imposed by the group on Monday, the Guardian reported. “We targeted two Saudi oil tankers, named ENCELA and LAYLIA, for their violation of the blockade decision issued by the armed forces,” Houthi military spokesperson Yahya Saree said. The UK Maritime Trade Operations (UKMTO) stated that it had received reports that a tanker had been struck by an unknown projectile and caught fire in the Red Sea, 70 nautical…
The Pound Sterling holds firm during the North American session as UK inflation data dipped, easing pressure on the Bank of England to tackle higher prices, while attacks between the US and Iran don’t seem to be ending in the Middle East. The GBP/USD trades at 1.3377.GBP/USD holds as softer inflation offsets Middle East risksDuring the European session, UK inflation data for June dipped from 2.8% to 2.6% YoY. The core Consumer Price Index (CPI) remained steady at 2.6% YoY for the same period. Even though this relieves the BoE, traders continued to price in an 82% chance for a…
The Reserve Bank of India sold a net $6.1 billion in the foreign exchange market in May, data released on Wednesday showed, as a sharp rise in oil prices due to the Iran war pushed the rupee to an all-time low.The RBI said in its monthly bulletin that it purchased $22.2 billion and sold $28.3 billion in May. In April, the central bank had sold a net $8.9 billion.The Indian rupee fell to a record low of 96.96 per dollar in May, pummeled by surging oil prices and higher global bond yields.The currency was then shored up by firm RBI…
Societe Generale economist Sam Cartwright analyzes June United Kingdom (UK) inflation, noting headline Consumer Price Index (CPI) at 2.6% year-on-year, below Bank of England (BoE) projections, with core inflation steady at 2.6%. The report highlights fuel-driven disinflation, limited indirect energy effects, and only modest expected core inflation increases. Cartwright forecasts Bank Rate staying at 3.75% through 2026, with potential 75bp cuts in 2027, while flagging energy-price risks to this path.BoE seen holding rates through 2026″Looking ahead, the recent rise in Brent crude, refined oil product, and European wholesale gas prices points to a stronger increase in near-term inflation than we…
The rupee depreciated by 34 paise to close at 96.59 (provisional) against the US dollar on Wednesday, weighed down by surging crude oil prices and heightened geopolitical uncertainty.Forex traders said risk aversion in global markets and a negative trend in domestic equities further dented investor sentiments.At the interbank foreign exchange, the rupee opened at 96.36 against the US dollar and traded in the range of 96.25 to 96.57 during the day. The domestic unit finally settled at 96.59 (provisional), lower by 34 paise from its previous close.On Tuesday, the rupee had settled higher by 11 paise at 96.25 against the…
The EUR/JPY cross attracts some sellers after an intraday move up to a one-month high and drops to the 185.75-185.70 area during the early part of the European session on Wednesday. The supportive fundamental backdrop, however, favors bullish traders as the market focus remains on the crucial European Central Bank (ECB) meeting on Thursday.In the meantime, expectations of a hawkish ECB tone might continue to underpin the shared currency and support the EUR/JPY cross amid the underlying bearish sentiment surrounding the Japanese Yen (JPY). In fact, investors are currently pricing in a 78% probability of an additional 25-basis-point (bps) ECB…