Author: admin
The rupee on Tuesday had its best trading session in about seven years, notching up a huge single day gain of over 100 paise against the US Dollar. It was buoyed by the overnight announcement of the US-India tariff agreement, which kindled hopes that foreign portfolio investors’ will step up purchase of Indian equities and debt. The Indian currency (INR) appreciated about 1.4 per cent to close at 90.2650 per US Dollar (USD), up about 125 paise as compared with the previous close of 91.5125. US President Donald Trump late Monday evening (IST) announced the US-India trade deal on his…
BNP Paribas highlights a positive outlook for the Eurozone, forecasting robust GDP growth of 1.5% in 2026, bolstered by recovering industry and household purchasing intentions. The report notes that Europe is overcoming challenges such as the war in Ukraine and political uncertainty in France. The EU’s strategic autonomy is improving, with increased investment in defense and technology sectors expected to drive growth.Positive growth outlook for Eurozone”GDP Growth in the Eurozone proved robust, at 1.5%, and 2026 should be a positive year, even more than in 2025.””The necessary revival of European demand requires a reduction in critical dependencies, particularly in the…
The Reserve Bank of Australia (RBA) raised the target cash rate by 25bps to 3.85% in a unanimous decision, citing risks to inflation from excess demand and capacity constraints. The RBA’s core inflation forecast was increased from 2.7% to 3.2% for 2026, indicating the likelihood of further action. The AUD is expected to trade between 69-71 cents in the near term, note Prashant Newnaha and Alex Loo from TD Securities.RBA’s hawkish stance on inflation”The Bank raising its core inflation forecast from 2.7% to 3.2% for 2026 even with the Bank assuming a 4.20% cash rate for this year implies another…
The AUD/JPY cross rises to around 108.85 during the Asian trading hours on Tuesday. The Australian Dollar (AUD) strengthens against the Japanese Yen (JPY) after the Reserve Bank of Australia (RBA) interest rate decision. Traders will keep an eye on the RBA press conference later on Tuesday at 4:30 GMT for more cues about the interest rate outlook. As widely expected, the RBA hiked rates for the first time in over two years. The Australian central bank decided to raise the Official Cash Rate (OCR) by 25 basis points (bps) to 3.85% from 3.60% at its first meeting of the year on Tuesday. RBA Governor…
The dollar held gains on Tuesday as positive economic readings and shifting expectations for Federal Reserve policy outweighed concerns about another U.S. government shutdown.The Australian dollar rose ahead of an expected rate hike by the nation’s central bank, the first of three major central bank decisions this week. The yen remained lower as Japanese Finance Minister Satsuki Katayama tried to play down comments from the prime minister that there were benefits to a weaker currency.The greenback gained overnight after U.S. manufacturing data from the Institute for Supply Management (ISM) showed a return to growth, though a key jobs report may…
The Indian rupee surged in the non-deliverable forward market trading after India and the United States clinched a trade deal, fuelling expectations of renewed foreign inflows.One-month dollar/rupee NDF levels point to an opening near 90.15-90.25, versus 91.5125 on Monday.Add as a Reliable and Trusted News Source(You can now subscribe to our ETMarkets WhatsApp channel) Source
US President Donald Trump said he will slash tariffs on India to 18% after Prime Minister Narendra Modi agreed to stop buying Russian oil, Bloomberg reported on Monday. Trump added that India will also “move forward to reduce their Tariffs and Non Tariff Barriers against the United States, to ZERO” as well as purchase “over $500 BILLION DOLLARS of U.S. Energy, Technology, Agricultural, Coal, and many other products.”Market reaction As of writing, the USD/INR pair is down 1.39% on the day at 90.61. Tariffs FAQs Tariffs are customs duties levied on certain merchandise imports or a category of products. Tariffs are designed…
Middle East trade is experiencing significant growth, projected to increase by 15% compared to 9% globally from 2021 to 2024. Asia is expected to dominate this trade corridor, expanding from USD 0.9 trillion in 2024 to USD 1.5 trillion by 2030. Additionally, GCC-Africa trade is anticipated to double to USD 260 billion by 2030, report Standard Chartered Bank analysts.Rapid growth in Middle East trade”Middle East (ME) trade is gaining rapidly, growing 15% vs 9% global growth in 2021-24 as supply chains fragment and reroute through the region.””Asia is the dominant and most scalable trade corridor and looks set to expand…
Market participants said the central bank’s dollar sales and swap operations helped stabilise the currency and manage liquidity amid pressure from higher borrowing plans. | Photo Credit: Yields of Government Securities (G-Sec) hardened on Monday as the Union Budget for FY27 proposed a higher Government borrowing programme. However, the rupee recovered lost ground after reports of RBI intervention in the forex market.The Union Budget for FY27, announced on February 1 (Sunday), has pegged the Government’s gross market borrowing higher at ₹17.2 lakh crore, up from ₹14.8 lakh crore in FY26.10-year benchmarkYield of the 10-year benchmark G-Sec (6.48 per cent 2035GS)…
Deutsche Bank Research Analyst Michael Hsueh reiterates its bullish outlook on Gold, maintaining a target price of $6,000 per ounce. The report emphasizes that recent price corrections do not indicate a fundamental shift in investor sentiment. It highlights ongoing positive thematic drivers for Gold and notes significant investment flows from China as a key factor supporting this outlook.Bullish outlook for Gold persists”We argue that the adjustment in precious metal prices overshot the significance of its ostensible catalysts. Moreover, investor intentions in precious (official, institutional, individual) have not likely changed for the worse as of yet.””Gold’s thematic drivers remain positive and…