INR forecast: INR opens at 72.60 as against Fri close 72.48 and may trade the day between 72.30-72.80 under two-way price action.
Today RBI announced bond purchase program to infuse liquidity in system and this should cool off bonds and equity sell off.
This week we have RBI meeting Oct 5th and US NFp also on the day . We expect RBI to increase interest rate by 0.25% to maintain pace with US rate hike. Next week would be CPI And this ade deficit for India. Global markets await any decision on US- Canada trade talk and future of NAFTA.
This month is crucial for any deal that Iran and US may sign before start of sanctions on Nov 4th and need to watch crude oil price trajectory